Alinea 100 / UK Flavours & Ingredients Q3 2024
Alinea 100 UK Flavours & Ingredients M&A update – Q3 2024
Welcome to the Alinea 100 UK Flavours & Ingredients M&A update – Q3 2024
We conduct various Alinea 100 analyses throughout the year across sectors, examining the last 100 significant M&A transactions, powered by our data partnership with MarktoMarket. This edition covers the Flavours & Ingredients sector to September 2024.
Key Market Dynamics:
● Sector Leaders: Bakery Ingredients (25%), Flavours & Seasonings (24%), and Sauces & Condiments (17%) dominate deals, reflecting core market priorities.
● Deal Volume: From one deal in 2017 to a peak of 24 in 2021, with continued strong activity through 2024 (8 deals YTD).Valuations: Average EBITDA multiple of 12.11x across transactions, with significant premiums for strategic assets.
● Size Impact: U-shaped valuation pattern: smaller deals (<£25M) at 13.36x and larger deals (>£100M) at 12.73x versus 10.74x mid-market.
● Geography: UK leads (64%), followed by EU (22%) and USA (10%), showing strong domestic and international participation.
● Key Players: Strategic consolidators (ADM, Novozymes, Solina) drive high-value transactions focused on technology and expansion.
● Forward View: Focus on biotech (Chr. Hansen), natural ingredients (Plant-Ex), and strategic scale (Princes) shapes future direction.