US consumer industry sees a drop of 19.9% in deal activity in February 2020

31 March 2020 (Last Updated March 31st, 2020 14:18)

US consumer industry sees a drop of 19.9% in deal activity in February 2020

The US consumer industry saw a drop of 19.9% in overall deal activity during February 2020, when compared with the last 12-month average, according to GlobalData’s deals database.

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A total of 153 deals worth $2.45bn were announced in February 2020, compared to the 12-month average of 191 deals.

M&A was the leading category in the month in terms of volume with 85 deals which accounted for 55.6% of all deals.

In second place was venture financing with 56 deals, followed by private equity with 12 transactions, respectively accounting for 36.6% and 7.8% of overall deal activity in the country’s consumer industry during the month.

In terms of value of deals, M&A was the leading deal category in the US consumer industry with total deals worth $1.63bn, while private equity and venture financing deals totalled $555.31m and $271m, respectively.

US consumer industry deals in February 2020: Top deals

The top five consumer industry deals accounted for 59.6% of the overall value during February 2020.

The combined value of the top five consumer deals stood at $1.46bn, against the overall value of $2.45bn recorded for the month.

The top five consumer industry deals of February 2020 tracked by GlobalData were:

1) Berkshire Hathaway’s $549m acquisition of The Kroger

2) The $425m asset transaction with Dean Foods by Dairy Farmers of America

3) 1-800-FLOWERS.COM’s $252m acquisition of Personalizationmall.Com

4) The $120m private equity deal with by Cedar Capital Partners, King Street Real Estate GP and Westdale Properties

5) Dimah Capital Investment and Stonebridge Companies’ private equity deal with Marriott International for $118m.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

 

Visit our ‘Retail Deals Dashboard’ for the latest trends in M&A, PE, and VC activity, top deals and advisory league tables in the retail industry.