Packaging Industry M&A Activity Tracking
Global Packaging M&A activity totaled 23 deals in the month, slightly below the 25 transactions posted in June and in-line with the 2022 monthly average of 23 deals. Deal activity in the month was driven by private equity platform acquisitions, which hit a high-water mark in July for the year. Overall, deal activity through July has been significantly lower than the elevated levels experienced in 2021 and is slightly below pre-pandemic levels. Packaging deal activity is generally expected to continue at this level through the balance of the year.
- Platform private equity transactions remained elevated in July, accounting for 26% of the total transaction activity; this share of total transaction activity has not been reached since January of 2021
- Paper packaging led all subsectors for the second straight month, with transactions increasing by 45%, or 5 deals, when compared to June
- Flexible Plastic packaging had a very slow month, accounting for only 1 deal in the month which was 5 deals lower than July 2021
- Despite accounting for 30% of year-to-date activity, Food & Beverage transactions fell in July and only accounted for 2 deals
- Consumer Packaging recorded its highest transaction volume month of 2022; total transactions increased by 27%, or 3 deals, when compared to June 2022
Global Packaging M&A activity dropped in July, continuing the year-to-date trend of lower-than-average volume. While transaction activity is slightly below pre-pandemic levels and the macroeconomic environment remains uncertain, overall market fundamentals in packaging remain strong, and both buyers and sellers remain motivated to pursue deals. If you are a packaging company considering a merger, acquisition, sale or recapitalization in the short or longer term, please consider leveraging PMCF’s transaction planning and execution expertise to best position your company in a transaction.
Sources: Capital IQ, PitchBook, Thomson Reuters, Company Reports, PMCF. Data as of July 31, 2022
Packaging M&A By Subsector
Total Packaging M&A By End Market
Packaging Transactions By Buyer Type
Notable M&A Activity
Public Entity Performance
Major News
- There Are Signs Inflation May Have Peaked, but Can It Come Down Fast Enough? (Wall Street Journal)
https://www.wsj.com/articles/there-are-signs-inflation-may-have-peaked-but-can-it-come-down-fast-enough-11658568604 - Packaging Suppliers Face Winding Pathway on the Road to Sustainability (Plastics News)
https://www.plasticsnews.com/news/packaging-suppliers-face-winding-pathway-road-sustainability - Packaging Design Innovating to Match New Consumer Trends (Packaging Word)
https://www.packworld.com/design/package-design/article/22302092/package-design-innovating-to-match-new-consumer-trends - July Jobs Report: U.S. Added 528,000 New Jobs as Unemployment Rate Fell to 3.5% (Wall Street Journal)
https://www.wsj.com/articles/july-jobs-report-unemployment-rate-economy-growth-2022-11659646690 - With an Uncertain Future, Here is the Economic Data to Watch (Plastics News)
https://www.plasticsnews.com/news/uncertain-future-here-economic-data-watch
Download Packaging M&A Update – July 2022
