Appetite for new deals in Greek food and supermarket sector – The 30 deals of 2022

The prospects shown by the Greek agri-food sector, its strong extroversion, but also the liquidity problems that have multiplied at this moment, especially for small and medium-sized enterprises, change (again) the balances in the domestic industry and in the organized retail of the food and beverage sector.

The 30 deals – smaller or larger, developmental or remedial – made in 2022 give a “pass” to the new year, which is estimated to be as exciting in terms of business deals as the concentration in the fast-moving products market, both in level of production as well as trade, to continue and possibly intensify in some sub-sectors.

The first deals of 2023

“In the first phase, the ‘backlog’ he leaves behind in 2022 will be ‘sorted out’,” market analysts report, noting how several negotiations are underway, which are expected to be completed within the first quarter of the new year.

In the gestating deals of the next period, the supermarket sector is the protagonist, with the number of business deals increasing to 13 from 10 at the end of 2022 (including nine acquisition deals in the supermarket sector and one in small retail through the acquisition of the companies ALPHA DISTRIBUTIONS SA, INKAT SA, DELIVERY.GR IKE and E-TABLE IKE of the Mouchal group by Delivery Hero, to which the efood group belongs).

The five biggest acquisitions of 2022

When and if the signatures are signed, it is estimated that more than 240 commercial units will have changed ownership (225 were the stores acquired in 2022, including the Kiosky’s minimarket and kiosk network), while it will have moved to the “big players” of sector total turnover of 400 – 430 million euros.

The Masoutis, Sklavenitis and Kritikos chains, which had the first role in the 2022 acquisitions rally, are estimated to continue to be in the news, while the action of AB Vassilopoulos under its new management remains a mystery. Although it tried, it ultimately failed to proceed with an acquisition in 2022, with internal administrative reshuffles plaguing it for most of the year.

The target of buyers, looking for opportunities in the “middle shelf”, is still focused on increasing their geographical footprint, specifically in areas favored by increased tourist flows.

Reorganizations in the food industry

The interest of Greek and foreign capital in recognizable Greek brands from the food industry has not been dampened by the inflationary crisis and the erosion of consumption, and already several smaller and larger companies, which have growth prospects, are in the sights.

Bespoke SGA Holdings, the investment vehicle of businessman Spyros Theodoropoulos, which through an aggressive strategic expansion, starred in the deals of 2022 with 4 acquisitions, including that of the historic chocolate industry ION.

The creation of a food group with a 24/7 logic and the ultimate goal of introducing it to the Stock Exchange in a 3-4 year horizon, undoubtedly has to give other “thrills” to the residents of business Jerusalem.

At the same time, the plans of the American CVC Capital Partners, which controls Vivartia and Dodoni, in addition to the “household” of the first, through the capitalization of the goodwill of facilities and mature subsidiaries, such as United Milk, also include a new acquisition of a company in the wider healthy food sector.

In the previous months, DELTA took over 70% of the Kourellas cheese business, thus “entering” the category of plant-based cheese products.

With a turnover of close to half a billion euros and a barrage of acquisitions within 2022 (apart from United Milk in Bulgaria, the Agno brand and factory in Thessaloniki and 49% of N.Th. Kourousis Ltd in Cyprus were acquired) the three-year group Greek Sarantis Brothers Dairies is currently not considering new “additions”, but in business you never say never.

The investment grade and Greek funds

Although the upgrade of the Greek bond to the investment category is probably for the end of 2023, the Greek market has entered the radar of foreign investors and companies that want to expand in the European south.

In fact, as it is rumored, the entry of a large retail chain into our country is already being considered.

But neither did the Greek funds, such as DECA Investments (interested by Dimitris Daskalopoulou), EOS Capital, m