A global player in food ingredients was interested in expanding its capabilities in texturizing and stabilisation systems using hydrocolloids. CPL produced a report which profiled and qualified potential targets, leading to a successful acquisition.
Objective
The study provided insight to a global ingredients company on the competitive landscape and potential acquisition targets in food systems and blends with a specific geographic focus. This included systems for texturizing and also stabilising food products.
Method
The focus was on companies selling food systems and blends (i.e. hydrocolloid systems/blends, where the blends or systems are sold as value-added ‘solutions’, to solve specific challenges such as texturization or stabilisation).
Initially, CPL advised on the types of companies involved in food systems and blends and the key success factors for operating in this area.
CPL produced a long list of ~90 players in the market, with some high-level analysis in a spreadsheet.
We discussed the longlist in detail with the client and then produced a short list of ~20 potential targets.
CPL carried out a deep dive on the potential target companies, which included a discussion on prioritisation and approach to the best-fit companies. This led to prioritising seven companies.
Deliverables
CPL delivered a spread sheet containing long list, short-list and detailed financial information (balance sheets, profit and loss etc. ) of potential targets
Company Profiles for short listed targets including:
- Company description
- Financial information, including actual or estimated sales value
- Strengths/weaknesses
- Applications focus
- Differentiators
- Ownership structure
The report enabled the client to populate its M&A pipeline. The client subsequently acquired one of the companies that CPL had profiled.
Have a look at our PowerPoint Introduction and Brochure describing deliverables, differentiators and case studies. You can also review eight case studies.