Agribusiness M&A shifts to mid-market, Grant Thornton finds | Accounting Times

Powered by
MOMENTUM
MEDIA

Continue to website

div#breadcrumbs ul{background:0 0;padding:0}div#breadcrumbs ul li{line-height:100%}div#breadcrumbs ul li a{font-size:.75rem;color:#000;display:inline-block}div#breadcrumbs ul li span.divider{padding:0 15px;font-size:.75rem}

Home

/

Profession

/

Agribusiness M&A shifts to mid-market, Grant Thornton finds

Agribusiness M&A shifts to mid-market, Grant Thornton finds

Profession

12 December 2024

Christine Chen

News

Investors are focusing on smarter, lower-risk opportunities in response to ongoing market uncertainty, according to the firm.

Mid-market agribusiness deals are booming despite a global downturn, with innovative and ESG-focused firms attracting the most interest from investors, a new report has found.
Grant Thornton’s annual Agribusiness, Food and Beverage Dealtracker found 92 per cent of agribusiness deals in Australia were valued below $50 million. Historically, the mid-market segment averaged 69 per cent of deals.
“The decline in deal volumes and average transaction values highlights an expanding focus on the mid-market segment, which in turn has driven a rise in transaction multiples,” partner Cameron Bacon said.

document.addEventListener(‘DOMContentLoaded’, function() {
var typesArray = {
desktop: [],
tablet: [4149],
mobile: [4222],
};

var zoneArray = [286156];

var zoneDivId = ‘#momentum-azk550137-zoneunit’;

changePlacements(true, zoneDivId, typesArray, zoneArray, null, ‘interscroller’);
});

==

==

.interscroller{margin:15px -15px; text-align:center;}@media (min-width:992px){.interscroller{display:none}}.interscrollHeader{width:100%;background:#333}.interscrollHeader__wrapper{line-height:20px;color:#FFF;text-align:center}.interscrollerZone{height:100vh;overflow:hidden;width:100%;position:absolute;clip:rect(auto,auto,auto,auto);left:0}.interscrollerZone__wrapper__content{display:inline-block}.interscrollerZone__wrapper{position:fixed;top:150px;overflow:hidden;-webkit-transform:translateX(-50%);-ms-transform:translateX(-50%);transform:translateX(-50%);left:50%;width:100%;height:fit-content;}.interscrollHeader_bot{margin-top:100vh}.interscrollerZone__wrapper__content iframe{}

@media only screen and (max-width: 480px){.b-article p{display:inline-block}.b-article .b-promotion__wrapper__content__item p{display:block}}

“This shows a growing emphasis on high-potential, future-focused sectors that promise higher returns.”
Grant Thornton’s report, released this week, analysed M&A and equity market activity in the agriculture, food and beverage sector between 1 January 2023 and 30 June 2024 against 13 years of historical data from 1 January 2011 to 31 December 2023.

document.addEventListener(‘DOMContentLoaded’, function() {
var typesArray = {
desktop: [882],
tablet: [4223],
mobile: [1578],
};

var zoneArray = [316345];

var zoneDivId = ‘#momentum-azk257428-zoneunit’;

changePlacements(true, zoneDivId, typesArray, zoneArray);
});

#momentum-azk257428-zoneunit {
width: fit-content;
margin: 0 auto 20px;
}
#momentum-azk257428-zoneunit img {
max-width: 100%;
height: auto;
}

Over the 18-month reporting period, the mid-tier firm said the median transaction multiple increasing to 11.4x, a positive increase from the historical median of 10.0x.
Globally, 1,222 M&A transactions were recorded, 23 per cent below the long-term average of 1,584.
“As anticipated, the half-yearly deal volume data shows a steady decline following the peak in H2 2021,” the report said, citing rising interest rates, geopolitical tensions and severe weather events.

@media screen and (max-width: 543px) {

#momentum-discover-2-zoneunit .two-grid-article-category-item-img,
#momentum-discover-2-zoneunit .two-grid-article-category-item-content {
width: 100%;
}

#momentum-discover-2-zoneunit .two-grid-article-category-item-content {
padding-left: 0;
}

#momentum-discover-2-zoneunit .native-body {
border: none !important;
}

}

#momentum-discover-2-zoneunit .two-grid-article-category-item-img {
margin-top: 0;
position: relative;
}
#momentum-discover-2-zoneunit .native-body .two-grid-article-category-item-img .overlay-icon{
bottom:0;
right:0;
width:100px;
position:absolute;
}

document.addEventListener(‘DOMContentLoaded’, function() {
var zoneTypesArray = {
desktop: [4417],
tablet: [4417],
mobile: [4417],
};

var zoneArray = [301763];

var zoneUnitDivId = ‘#momentum-discover-2-zoneunit’;

if (typeof changePlacements === ‘function’) {
chang