Nando's India and Branston Pickle deals highlight opportunities in the global food market

This week has seen two deals announced which show that food companies in different parts of the world still provide opportunities for both strategic and financial buyers. 

The first of these was the announcement by Mizkan Group that it has agreed to acquire Premier Food’s UK-based sweet pickles and table sauces business for just under GBP 100 million. This acquisition will include the iconic Branston Pickle brand and dovetails nicely with Mizkan’s UK subsidiary, which is currently one of the biggest manufacturers of malt and specialised vinegars in Europe. So, very much a strategic acquisition that will expand the product range of Mizkan and fits with Premier Food’s stated objectives of disposing of a number of their business divisions.

The second deal is the reported acquisition of the Indian rights of South African restaurant chain Nando’s by private equity firm New Silk Route (NSR). The surge in growth of the middle class in countries like China, India and Brazil is driving consumer demand for themed restaurants and franchises that have historically existed in more developed countries. Therefore, it’s no surprise that a private equity firm is interested in potentially buying the Nando’s rights in India, the world’s second most populated country, and where chicken is a dietary staple. It doesn’t take a genius to work out the attraction of this deal to NSR!