BOCA RATON, Fla.—The recession is taking a bite out of food and beverage deals, with many companies opting to conserve money and focus on performing categories in 2009.
Several executives at the Consumer Analysts Group of New York told Reuters they were focused on conserving cash this year, and fewer targets are available as private-equity investors hold on to reap a better return on businesses they bought in recent years.
In 2008, there were 171 deals involving U.S. food and beverage sector targets, down from 209 in 2007 and 216 in 2006, Reuters reported. The total value of the deals was about $104 billion in 2008, up from nearly $93 billion in 2007.