Packaging Industry M&A Activity Tracking
Global Packaging M&A finished strong in the first half of 2024, recording its most active month since January in June, and posting 151 deals in total in the half. June activity represented a five deal increase from the prior month and surpassed June 2023 levels by ten deals. The first half of 2024 outpaced the first half of 2023 by 21 deals, driven by increased activity from strategic buyers. Capping off a strong second quarter, June marked the third consecutive month of increasing deal volumes. Overall, activity remained consistent quarter-over-quarter, leading to heightened first half activity when compared to the previous year.
- Strategic buyers accounted for 81 deals, or 54% of the deal volume in the first half of 2024, which denoted the highest percentage of overall mix attributable to strategic buyers since the first half of 2020
- Financial buyers have posted 70 deals to date, exceeding H1 2023 by one deal. June platform acquisitions exceeded May by four deals, but the increase was smaller than the five deal decline in add-on transactions, resulting in a modest month-to-month contraction
- The Industrial end market was the most active in the first half of 2024, representing 45% of volume and logging a 21-deal increase relative to H1 2023. Food & Beverage volume increased by seven deals compared to the first half of 2023, while the Consumer end market observed a decline in the same period
- The proportion of transactions involving a US-based buyer and seller declined by 9% compared to the first half of 2023, accounting for only 35% of volume. Foreign M&A activity continued to drive deal flow, accounting for half of the deal volume in H1 2024
- The Machinery & Distribution subsector posted 17 more deals in H1 than it did in the prior year. Furthermore, the subsector led all others in deal volume, totaling 37 deals in the first half of 2024
Sources: S&P Capital IQ, Company Websites, Pitchbook, Company Reports, PMCF
Major News
- Wage Gains, Low Unemployment Keep Pressure on Fed; Hiring Cooled in June
https://www.wsj.com/articles/june-jobs-report-unemployment-rate-economy-growth-2023-af4d6547 - Second Round of Fiber Product Price Increases Appears to be Taking Hold
https://www.packagingdive.com/news/second-round-fiber-price-increases-taking-hold-box-demand/719648/ - Food-Grade Recycled Polypropylene is Poised for US Intro
https://www.packagingdigest.com/sustainability/food-grade-recycled-polypropylene-is-poised-for-us-intro - Plastics Treaty Could Boost Packaging Firms Offering Alternative Materials
https://www.plasticsnews.com/news/strong-plastics-treaty-can-speed-move-new-packaging-models-report-says - PET Bottle Resin Prices Take an Unexpected Early Summer Dip
https://www.plasticsnews.com/resin-pricing/pet-bottle-resin-prices-take-unexpected-summer-dip
Download Packaging M&A Update – June 2024
Packaging M&A Update – September 2024
Global Packaging M&A posted 21 deals in September, down two transactions from August levels and nine from activity recorded in September 2023.
Plastics M&A Update – September 2024
Global Plastics M&A recorded 34 deals in September, which represented the fifth consecutive month of 30 or more deals and a four deal increase over September 2023 figures.
Packaging M&A Update – August 2024
Global Packaging M&A activity slowed after a strong second quarter and beginning of the third quarter, with 23 deals recorded in August—eight fewer than in July and the lowest since April.
Plastics M&A Update – August 2024
Global Plastics M&A recorded its fourth consecutive month with over 30 deals in August, tallying 33 in the period.
Plastics M&A Update – July 2024
Global Plastics M&A recorded its second most active month of the year in July, tallying 39 deals and falling three deals shy of elevated activity seen in January.