Deal value in North America grew by 29% in February compared to the previous month; however, from the same period last year it witnessed a decline of 11%. The accommodation sub-segment represented nearly 44% of the total volume, and 60% of the total value transacted in the region. Like the rest of the world, the North American foodservice industry has been through a tumultuous period. However, the incremental growth in the US economy provides hope for foodservice operators for the near future.

In February 2012, the accommodation channel accounted for 36% of total deal activity in the global foodservice industry, followed by the wholesale and suppliers channel which comprised 27%. The restaurant channel accounted for 20% of the month's total deal activity. Overall deals forecast in the financial year of 2012 are expected to be in line with the previous year. However, the numbers of large deals are expected to be fewer as most M&As undertaken will have value creation as a primary objective, and will only go through if the valuations are lower.

Debt offering remained the most preferred type of deal in the global foodservice industry for the month of February. In a monthly comparison, the volume of debt offerings increased by 20% and represented 7% of the total deal value in the foodservice segment for the month of February.

Strategic partnerships registered ten deals in February 2012, compared with seven in January 2012, an increase of 43%. Deal volume was 25% above the TSM average of eight deals. PE/VC activity in the month recorded a decline of 30%, registering seven deals compared with ten deals in January 2012, and remained 50% below the TSM average of 14 deals.

Report Scope

- The report provides detailed analysis on the mergers and acquisitions (M&A) activity in the foodservice industry in February 2012 compared with January 2012, and the trailing six month average. This provides insights for the inorganic growth strategies of companies in the industry and competitor tracking.

- The report provides detailed analysis on the private equity and venture capital activity in the foodservice industry in February 2012, compared with January 2012, and the trailing six month average. This provides insights for the investment activity in the industry by financial investors.

- The report provides detailed analysis on capital raising activity, including equity and debt offerings, in the foodservice industry in February 2012 compared with January 2012 and the trailing six month average. This provides insights for the capital raising activity of companies in the industry, including fund raising trends from both equity and debt capital markets.

- The report provides detailed analysis on strategic partnerships in the foodservice industry in February 2012 compared with January 2012, and the trailing six month average. This provides insights for the strategic partnerships among companies in the industry, including joint ventures.

Click for Report details:February Monthly Deals Roundup - Foodservice