Food for Thought - William Blair & Company · 2015. 1. 30. · Abafoods . Producer of organic beverages Italy Koninklijke Wessanen $64.9 1.93x - 12/16/14 . Latterie Friulane . Manufacturer

Year-End Review

Food for ThoughtOverview, Analysis, and Trends in the Food and Food Retailing Industries

William Blair

Food For Thought Table of Contents

Table of Contents

William Blair’s Industry Update – Calendar 2014 .......................................................................................................................................................................... 1

Selected Monthly M&A Activity – December ..................................................................................................................................................................................... 2

Noteworthy M&A Activity – LTM ............................................................................................................................................................................................................ 7

Historical M&A Trends in the Food and Food Retailing Industries .................................................................................................................................... 10

Volume Trends ......................................................................................................................................................................................................................................... 10

Participant Trends.................................................................................................................................................................................................................................. 11

Valuation Trends ..................................................................................................................................................................................................................................... 12

Public Company Trading Statistics ...................................................................................................................................................................................................... 13

Food Production Companies ............................................................................................................................................................................................................. 13

Food Ingredients Companies ............................................................................................................................................................................................................ 14

Beverage Production Companies .................................................................................................................................................................................................... 14

Food Retail Companies......................................................................................................................................................................................................................... 15

Convenience Store Companies ......................................................................................................................................................................................................... 15

Same-Store Growth – Food & Convenience Retail ....................................................................................................................................................................... 16

U.S. Public Equity Financing Summary – LTM ............................................................................................................................................................................... 17

IPOs ................................................................................................................................................................................................................................................................ 17

Follow-Ons ................................................................................................................................................................................................................................................. 17

Selected Upcoming Industry Events ................................................................................................................................................................................................... 18

General Market Update ............................................................................................................................................................................................................................. 20

Quarterly Market Update – All Industries........................................................................................................................................................................................ 20

Domestic M&A Market Summary ......................................................................................................................................................................................................... 21

U.S. Activity Trends ........................................................................................................................................................................................................................... 21

U.S. Valuation Trends ....................................................................................................................................................................................................................... 22

U.S. Equity Capital Markets Summary .......................................................................................................................................................................................... 23

Debt Capital Markets Summary ............................................................................................................................................................................................................ 24

William Blair Food & Beverage and Food Convenience & Retail Investment Banking .............................................................................................. 25

Recent William Blair Consumer & Retail Transactions ............................................................................................................................................................. 27

William Blair Consumer & Retail Coverage .................................................................................................................................................................................... 28

Notes .................................................................................................................................................................................................................................................................. 29

Disclosures ...................................................................................................................................................................................................................................................... 30

file://cfina/cfinashare/C/Consumer_Grp/2014/Food%20for%20Thought/01%20January%20(2015)/Newsletter/Food%20For%20Thought_January%202015_v4.docx%23_Toc410256025

William Blair

Food For Thought William Blair’s Industry Update – Calendar 2014 1

William Blair’s Industry Update – Calendar 2014

Twelve months ago, we finished one of the most active years for food retail in over a decade. Both the M&A and equity markets were particularly robust for food retailers, and we predicted that 2014 was going to continue that trend. While the M&A market has shown continued strength, the publicly traded food retailers had a tougher time, as inflationary pressures, particularly on beef and dairy, have in turn pressured margins, and competitive factors from within—and outside—the food retail industry affect customer traffic and basket size.

M&A activity remained robust in food retail, and after a noticeable hiatus in convenience stores, headline M&A transactions returned. Four notable food retail transactions hit the wires in 2014: 1) the sale of Safeway to Albertsons in March for $8 billion; 2) the sale of Grocery Outlet to Hellman & Friedman from Berkshire Partners in September; 3) the sale of Dean & DeLuca, an iconic brand in the upscale food retail market, to a Thai property developer, Pace Development, in November for $144 million; and 4) the purchase of 146 Safeway, Vons, Pavilions, and Albertsons stores by Haggen in December. The last transaction caught the industry by surprise, as Haggen, an 18-store operator in Bellingham, Washington, backed by Comvest Partners, bought a surprising number of stores that were being divested as a result of an FTC order to allow the Safeway/Albertsons transaction to proceed. This immediately makes Haggen a player in the West Coast food retail market, with 164 stores in five states; it does not come without risk, however, as 83 of these stores are in highly competitive markets in California. In convenience stores, two transactions punctuated the landscape, including the sale of Susser to Energy Transfer Partners, the parent company of the Sunoco brand, for $2.3 billion in April, and the sale of The Pantry to Couche-Tard for $1.7 billion in December.

In the capital markets, public food retailers faced headwinds from both rising food costs and strong competitive factors. William Blair’s food retail group was down 4.3% for 2014, and some of the strongest performers of 2013 saw headwinds affect their stock prices in 2014. Natural Grocers by Vitamin Cottage, which saw a 122% increase in 2013, declined 33.6% in 2014, and Sprouts Farmers Market, up 110% following a very successful IPO in August 2013, declined 11.6% in 2014. One anticipated IPO of 2014, Bi-Lo Holdings, the holding company for BI-LO and Winn-Dixie, was also withdrawn in August. Most noticeably, the industry also saw meaningful change in the executive office, with three public food retailers replacing their CEOs. Fairway Market appointed Jack Murphy, formerly CEO of Earth Fare, as CEO in August to lead the turnaround of the iconic New York specialty food retailer. And coming right out of the holidays, in January 2015 The Fresh Market announced that Craig Carlock was leaving as CEO and Bi-Lo Holdings announced that Randall Onstead was stepping down March 1. He will be replaced by Ian McLeod, the former CEO of Coles, an Australian food retailer.

As we look to 2015, we do not expect many headline M&A transactions in the sector, as the activity will be dominated by market exits and smaller consolidations driven by market position, scale, and operating leverage. We also expect the equity markets to be fairly quiet, though overall, we believe the industry to be very healthy, and following a down year in 2014, we expect stock prices to appreciate as the U.S. consumer remains strong, food inflation pressures have abated, and discretionary income is being increased, in part, by low gas prices.

Mike Siska Managing Director, Consumer and Retail +1 312 364 5393 [email protected]

mailto:[email protected]

William Blair

Food For Thought 2 Selected Monthly M&A Activity – December

Selected Monthly M&A Activity – December

Food & Beverage Producer Transactions

($ in millions)

Date Target (Unit Sold)/ Target Enterprise Enterprise Value/LTM

Announced Target Business Description Nation Buyer Value Sales EBITDA

12/31/14 China Minzhong Food Corporation Producer and seller of fresh vegetables

China Private Investor $271.5 0.61x 2.3x

12/31/14 Inner Mongolia Mengniu Dairy Company Manufacturer of dairy products

China China Dairy (Mauritius) Limited

$6,039.2 - -

12/30/14 THAMIRA Manufacturer and distributor of food and beverage products

Cyprus Handy Snacks - - -

12/30/14 Mount Shivalik Industries Manufacturer and seller of beer in India

India Mount Shivalik Packaging - - -

12/30/14 Sump & Stammer Producer and supplier of commercial food products

Germany Transgourmet Holding - - -

12/26/14 Ishiyamamiso Syouyu Inc. Manufacturer of soy sauces and related products

Japan Undisclosed Acquirer - - -

12/25/14 Water Direct Corp. (73.4%) Manufacturer and distributor of purified water

Japan Hikari Tsushin Inc. $55.2 0.76x 5.6x

12/25/14 Distant Lands Trading Co. Roaster and distributor of coffee

United States ITO EN (North America) $83.2 0.06x -

12/25/14 Country Pure Foods Producer of fruit juices, soft drinks and spring water

United States Sapporo Holdings Ltd; Toyota Tsusho Corp.

$99.6 - -

12/25/14 Syuyo Shoji Co. Manufacturer of confectionery products

Japan Taisei Co. (Fukuoka) - - -

12/24/14 Henri Maire Producer of wine

France Boisset - - -

12/24/14 Tovarna Olja Producer and marketer of vegetable oils and fats

Slovenia KD Group - - -

12/24/14 International Confections Manufacturer of sweets and chocolates

United States Mrs. Fields Famous Brands - - -

12/23/14 Dairy Holdings Supplier of milk and dairy ingredients

New Zealand Undisclosed Acquirer - - -

12/23/14 Emmi Fondue (34%) Manufacturer of dairy products

Switzerland Emmi - - -

12/22/14 Blue Buddha Beverages Manufacturer of ready-to-drink teas

United States Braintrust Investments - - -

12/22/14 Lontrue Co. (9.9%) Manufacturer and supplier of fruits, vegetables and nuts

China Private Investor (Yang Jianwei)

$504.9 3.83x 27.4x

12/22/14 Moulin D'Or Manufacturer of bread and bakery products

Tunisia Undisclosed Acquirer - - -

12/22/14 Heinrich Nolke Producer and seller of sausages in Germany

Germany zur Mühlen ApS & Co. - - -

12/19/14 Swartland Winery Producer of wine

South Africa Private Investor - - -

12/19/14 NESTLÉ México (Helados Nestle) Manufacturer of ice-cream

Mexico Grupo Herdez $68.2 - -

Note: Includes global change-of-control (unless otherwise indicated) transactions announced in December 2014 Sources: Dealogic and Capital IQ

William Blair

Food For Thought Selected Monthly M&A Activity – December 3

Food & Beverage Producer Transactions (cont.)

($ in millions)



12/19/14 Takizawa Ham Co. (15.4%) Manufacturer of ham, sausages, and other processed meat products

Japan Itochu Corp. $64.2 0.26x -

12/19/14 Radenska Producer of non-alcoholic beverages and soft drinks

Slovenia Kofola Spolka Akcyjna - - -

12/19/14 Agros-Nova Processer and distributor of fruits and vegetables

Poland Maspex GMW - - -

12/19/14 Longwarry Food Park Manufacturer of cheese, cream and milk

Australia Parmalat Australia $66.7 0.91x -

12/18/14 La Rioja Alta (Winery located in Rioja Alta) Producer of wine

Spain Bodega Matarromera - - -

12/18/14 Saputo Bakery Group Manufacturer and marketer of snack-cakes and bakery products

Canada Canada Bread Company $103.4 - -

12/18/14 Tagum Resources Agri Industries Producer of bananas

Philippines HIJO Resources Corporation; Black River Capital Partners Food Fund Holdings

$13.2 - -

12/18/14 Bumble Bee Holdco Manufacturer of canned and pouched seafood

Luxembourg Thai Union Frozen Products $749.9 0.75x -

12/18/14 Tyris Manufacturer and distributor of beer

Spain Zriser - - -

12/17/14 L’ Epi Bearnais Operator of a bakery

France Baghera Developpement - - -

12/17/14 Bakkerij J.M. Smithuis Producer of bakery products

Netherlands Bakkerij Faber - - -

12/17/14 Bodega del Narcea Manufacturer of wine

Spain Bodega Dominio del Urogallo

- - -

12/17/14 Eskimo Producer and distributor of milk, yoghurt, and related dairy products

Nicaragua Grupo Lala - - -

12/17/14 Founders Brewing Co. (30%) Brewer and marketer of beer

United States Mahou - - -

12/17/14 Henan Khong Guan Cereal & Oil Food Products Co. (40.6%) Manufacturer of edible oils

China Undisclosed Acquirer - - -

12/16/14 Sendai Coca-Cola Bottling Co. Producer of soft drinks

Japan Coca-Cola East Japan $88.4 0.18x -

12/16/14 Abafoods Producer of organic beverages

Italy Koninklijke Wessanen $64.9 1.93x -

12/16/14 Latterie Friulane Manufacturer of dairy products

Italy Lactalis Group - - -

12/16/14 Dongbu Farm Gaya Co. (94.4%) Manufacturer of soft drinks and juices

South Korea Woongjin Foods $13.5 - -

12/15/14 Archer Daniels Midland (Global Cocoa Business) Producer of cocoa

United States Olam International $1,300.0 - -

12/12/14 Bahus (51%) Producer of Vodka

Russian Federation

Cormistar Management - - -

12/12/14 PoViva Tea (51%) Manufacturer of tea

Canada Lexaria Corp. - - -


William Blair



($ in millions)



12/12/14 Robertet Savoury Manufacturer of food and beverage additives

Belgium Nactis - - -

12/12/14 Ege-Tav Ege Tarim Hayvancilik Yatirim Ticaret ve Sanayi (60%) Producer and distributor of poultry

Turkey NH Foods $120.0 - -

12/11/14 Handmade Cake Company Producer and seller of handmade cakes

United Kingdom Europeenne des Desserts - - -

12/11/14 Momokawa Brewing Inc. Manufacturer of Japanese sake

Japan Hakutsuru Sake Brewing Co. - - -

12/10/14 Comercializadora Novaverde (66.7%) Manufacturer and seller of canned fruits and vegetables

Chile Angelini Group (Chile) - - -

12/10/14 Hainan Tanniu Chicken Co. (10%) Producer of chicken and related food products

China Private Investor (Ms. Yu Jiying)

$15.7 - -

12/10/14 Great Lake Tomatoes Producer and seller of tomatoes

New Zealand Turners & Growers $13.4 - -

12/09/14 Nature Bev Producer and distributor of sports drinks and nutritional beverages

United States CleanPath Resources Corp. - - -

12/09/14 Xiamen Sunurt Marine Co. Processer and distributor of seafood

China Cnfc Overseas Fishery Co. $38.5 0.77x -

12/08/14 Cater Chain Food Services Producer of meat products

South Africa Famous Brands - - -

12/08/14 Bio Distrifrais Chantenat Wholesaler of fruits and vegetables

France Private Investor - - -

12/08/14 Gemacom Tech Industria e Comercio Manufacturer of specialty food ingredients

Brazil Tate & Lyle - - -

12/05/14 Wine & Co. Producer and seller of wine

France Compagnie Financiere Europeenne de Prises de Participation

- - -

12/05/14 Bonjoe Gourmet Chips Producer of gourmet potato chips

United States Great Plains Holdings - - -

12/05/14 Osaka Daiichi Rice Deal Co. Wholesaler of rice related food products

Japan Itochu Corp. - - -

12/05/14 Tilly-Sabco Manufacturer and processer of frozen meat products

France M S Foods - - -

12/05/14 McCleskey Mills Provider of shelled peanuts

United States Olam International $179.0 - -

12/05/14 J. Garcia Carrion (4%) Manufacturer of fruit juices, soft drinks and wine

Spain Private Investor $482.3 - -

12/04/14 F Delikappa Co. (45%) Manufacturer of rice and sushi

Japan Colowide Co. - - -

12/04/14 Mentor Foods Manufacturer of gluten free food

Brazil Dr. Schar - - -

12/04/14 Allan Candy Group Manufacturer of chocolate and confectionery products

Canada The Hershey Company $24.6 - -

12/04/14 Rudolf Schaer Manufacturer of meats and meat products

Switzerland Migros-Genossenschafts-Bund

- - -


William Blair

Food For Thought Selected Monthly M&A Activity – December 5


($ in millions)



12/03/14 734 Citrus Holdings Producer of oranges and citrus fruits

United States Alico $72.0 - -

12/03/14 Limestone Branch Distillery (50%) Producer and seller of whiskey

United States Luxco - - -

12/03/14 Korea Food Services (14%) Manufacturer of bread and bakery products

South Korea Reyes Holdings $52.1 - -

12/02/14 Embutidos Monells Manufacturer and marketer of sausages and meat processing products

Spain Grupo Alimentario Argal - - -

12/02/14 Talenti Gelato Manufacturer of ice-cream

United States Unilever - - -

12/01/14 Grant Burge Wines Producer and distributor of wine in Australia

Australia Accolade Wines Australia Holdings

- - -

12/01/14 Razgulay Group (8.2%) Manufacturer of sugar, grain, poultry, and dairy products

Russian Federation

Aton Group $34.6 2.10x -

12/01/14 Noon Pakistan Limited Processer and seller of dairy products

Pakistan Fauji Fertilizer Bin Qasim - - -

12/01/14 Nissin-Universal Robina Corp. (24%) Manufacturer and seller of instant noodles

Philippines Nissin Foods Holdings - - -

12/01/14 Prestige (99%) Manufacturer of alcoholic beverages

Russian Federation

Rosspirtprom - - -

12/01/14 Kancor Ingredients Manufacturer of spice extracts and food additives

India V. Mane Fils - - -

12/01/14 Summergate Fine Wines & Spirits Provider of alcoholic beverages

China Woolworths $25.0 - -


William Blair


Food & Convenience Retail Transactions

($ in millions)



12/23/14 Super Sansho Co. Operator of a chain of supermarkets


12/19/14 Supermarkets (3 supermarkets) Operator of a chain of supermarkets

Japan Aeon Co. - - -

12/19/14 Safeway (12 stores in Texas) Operator of a chain of grocery stores

United States Associated Wholesale Grocers

- - -

12/19/14 Supermarkets (146 Safeway, Vons, Pavilions, and Albertsons stores) Operator of a chain of supermarkets

United States Haggen Inc. - - -

12/19/14 Supermercados Montserrat (40%) Owner and operator of a chain of supermarkets

Chile Inversiones Fontibre $109.5 - -

12/19/14 Safeway (8 stores in Montana and Wyoming) Operator of a chain of food retail stores

United States Ridley's Food Corporation; Stoke Market

- - -

12/19/14 Albertsons (2 stores in Washington) Operator of grocery stores in Washington

United States SUPERVALU - - -

12/18/14 The Pantry Operator of convenience stores that sell groceries and other items

United States Alimentation Couche-Tard $1,725.4 0.26x 7.8x

12/18/14 Grupo Carrefour (10%) Operator of hypermarkets

Brazil Peninsula Participacoes $6,602.6 - -

12/17/14 Sunny Mart (16 convenience stores in Ehime and Tokushima) Operator of convenience stores

Japan Lawson - - -

12/16/14 Andy's Handy Store Retail store operator that sells groceries and other items

United States Private Investor - - -

12/16/14 Super Daiei Co. (24%) Operator of a chain of supermarkets

Japan Izumi Co. $29.0 0.15x 10.8x

12/12/14 Aadhaar Wholesale Trading and Distribution Owner and operator of supermarkets in India

India Future Consumer Enterprise Limited

$26.6 1.26x -

12/08/14 Kasumi Co. Operator of a chain of supermarkets



William Blair

Food For Thought Noteworthy M&A Activity – LTM 7

Noteworthy M&A Activity – LTM

Food & Beverage Producer Transactions

($ in millions)



12/31/14 Inner Mongolia Mengniu Dairy Company Manufacturer of dairy products

China China Dairy (Mauritius) Limited

$6,039.2 - -

12/15/14 Archer Daniels Midland Company (Global Cocoa Business) Producer of cocoa

United States Olam International $1,300.0 - -

11/20/14 Primo Smallgoods Producer of packaged meats

Australia JBS $1,255.4 - -

11/06/14 DSS Group Producer and distributor of bottled water

United States Cott Corp. $1,250.0 - -

11/03/14 Centrale Laitiere Producer and seller of packaged milk and dairy products

Morocco Danone $1,677.9 2.10x 17.1x

11/03/14 United Biscuits Manufacturer and distributor of biscuits, snacks, and frozen foods

United Kingdom Yildiz Holding $3,199.2 - -

10/20/14 Hainan Yedao Co. (11.2%) Manufacturer of food and beverage products

China China Orient Capital Investment Group

$679.0 6.19x -

10/06/14 Belvedere (7.3%) Producer and marketer of alcoholic beverages

France Diana Holding - Groupe Zniber

$362.7 0.54x NMF

09/10/14 Windsor Quality Food Company Producer and marketer of frozen foods and appetizers

United States Ajinomoto North America $800.0 1.19x -

09/08/14 Annie's Producer of natural and organic foods

United States General Mills $821.2 3.95x NMF

09/02/14 Archer Daniels Midland Company (Global Chocolate Business) Producer of chocolate

United States Cargill $440.0 - -

08/21/14 Ebro Foods (2%) Manufacturer of pasta, rice, and ready-to-eat food

Spain Empresas Comerciales e Industriales Valencianas

$3,589.8 1.37x 9.5x

08/15/14 Vietnam Dairy Products (2%) Manufacturer of dairy products

Vietnam Fraser & Neave $4,534.6 2.90x 14.1x

08/11/14 Chiquita Brands International Producer and distributor of fruit and other fresh produce

United States Sucocitrico Cutrale; Banco Safra, Investment Arm

$1,193.1 0.39x 13.6x

08/11/14 Treasury Wine Estates Producer and distributor of wine

Australia TPG Capital $3,323.0 2.00x 14.2x

07/14/14 Russell Stover Candies Manufacturer and marketer of sweets and chocolates

United States Chocoladefabriken Lindt & Spruengli

$1,400.0 - -

07/07/14 WILD Flavors Manufacturer of food ingredients and preservatives

Switzerland Archer Daniels Midland Europoort

$3,096.5 2.28x -

06/30/14 CytoSport Manufacturer of nutritional supplements

United States Hormel Foods Corporation $470.0 - -

06/30/14 Flagstone Foods Producer and distributor of dried fruits and nuts

United States Treehouse Foods $860.0 - -

05/29/14 Hillshire Brands Co. Manufacturer of consumer food and beverage products

United States Tyson Foods $8,533.5 2.10x 15.3x

05/22/14 Conopco (North America Pasta Sauces Business) Producer of pasta sauce

United States Mizkan Holdings $2,150.0 3.60x -

05/21/14 Tnuva Food Industries Producer and distributor of dairy and frozen food products

Israel Bright Food (Group) $1,711.2 - -

Note: Includes global change-of-control (unless otherwise indicated) transactions announced in the last twelve months Sources: Dealogic and Capital IQ

William Blair

Food For Thought 8 Noteworthy M&A Activity – LTM


($ in millions)



05/20/14 Treasury Wine Estates Producer and distributor of wine

Australia KKR & Co. $3,188.3 1.90x NMF

05/12/14 Pinnacle Foods Manufacturer of convenience food products

United States Hillshire Brands $6,729.2 2.70x 15.2x

04/27/14 Goodman Fielder Manufacturer and distributor of food ingredients

Australia First Pacific Company $1,698.4 0.84x 8.8x

04/25/14 Deoleo Producer of cooking oils

Spain CVC Capital Partners $1,261.8 1.16x 12.5x

04/17/14 MFI Holding Corporation Processer and distributor of commercial food products

United States Post Holdings $2,499.5 - -

04/15/14 United Spirits Manufacturer and seller of alcoholic beverages

India Diageo $1.895.8 4.88x NMF

04/14/14 DIANA Provider of organic and natural foods

France Symrise $1,796.2 2.88x 14.0x

03/17/14 Hearthside Food Solutions Manufacturer of consumer baked foods and snacks

United States Goldman Sachs Group, Merchant Banking Division; Vestar Capital Partners

$1,100.0 1.10x -

03/14/14 Olam International Supplier of food ingredients such as coffee, cocoa and cashew nuts

Singapore Temasek Holdings; Kewalram Singapore

$11,546.7 0.73x 13.0x

03/10/14 Cloverhill Pastry-Vend Producer of baked goods primarily sold through vending machines

United States Aryzta $673.1 - -

03/03/14 Nuova Castelli Producer and distributor of dairy and canned tuna fish products

Italy Charterhouse Capital Partners

$516.6 1.29x 10.1x

02/28/14 Sokolow Processer of packaged meats such as canned hams, kielbasa and pre-packaged sliced meats

Poland Danish Crown $492.6 - -

02/20/14 Shree Renuka Sugars (26%) Manufacturer of sugar

India Wilmar International $1,331.2 0.79x 11.9x

02/12/14 Canada Bread Co. Manufacturer of flour based products

Canada Grupo Bimbo $1,487.6 1.06x 12.6x

01/20/14 Oriental Brewery Co. Brewer and marketer of beer

South Korea Anheuser-Busch InBev $5,800.0 - -

01/13/14 Tilda Provider of basmati and specialty rice products

United Kingdom Hain Celestial Group $357.7 - -

01/13/14 Beam Manufacturer and seller of distilled spirits

United States Suntory Holdings $15,816.6 6.27x 20.4x


William Blair

Food For Thought Noteworthy M&A Activity – LTM 9

Food & Convenience Retail Transactions

($ in millions)



12/18/14 The Pantry Operator of convenience stores that sell groceries and other items

United States Alimentation Couche-Tard $1,725.4 0.26x 7.8x

12/18/14 Grupo Carrefour (10%) Operator of hypermarkets

Brazil Peninsula Participacoes $6,602.6 - -

11/24/14 Dean & DeLuca Operator of retail stores that sell gourmet specialty food and beverage products

United States Pace Development Corporation

$140.0 - -

11/07/14 Nature's Pantry Operator of a chain of food retail stores

United States Natural Grocers by Vitamin Cottage

- - -

10/31/14 Maruetsu Operator of a chain of supermarkets

Japan Kasumi $685.6 0.23x 7.5x

10/03/14 Migros Ticaret Operator of a chain of supermarkets

Turkey Anadolu Endüstri Holding $2,705.4 0.79x 13.1x

09/30/14 Seijo Ishii Co. Operator of a chain of supermarkets

Japan Lawson $501.4 1.01x 9.7x

09/16/14 Grocery Outlet Inc. Operator of a chain of grocery stores

United States Hellman & Friedman - - -

08/11/14 Kinsho Store Co. Operator of a chain of supermarkets

Japan Kintetsu Corporation $645.3 1.13x -

07/02/14 Grupo El Árbol Distribución y Supermercados Supermarkets operator

Spain Distribuidora Internacional de Alimentación

$205.9 0.18x -

06/03/14 DIA France Operator of a chain of supermarkets

France Carrefour $816.9 - -

05/07/14 Roundy's (18 Rainbow Stores) Operator of 18 retail stores

United States SuperValu $65.0 - -

04/28/14 Susser Holdings Corporation Operator of a chain of convenience stores

United States Energy Transfer Partners $2,320.3 0.37x 14.4x

04/11/14 SPAR Group Operator of a chain of grocery and retail stores

South Africa Allan Gray $2,059.8 0.45x 13.0x

04/07/14 Carrefour Operator of a chain of supermarkets

France Motier $1786.3 0.36x 12.2x

03/11/14 SPAR Ceska Obchodni Spolecnost Operator of a chain of supermarkets

Czech Republic Albert (Ahold) $266.2 0.36x -

03/10/14 Eataly Operator of a chain of food retail stores

Italy Tamburi Investment Partners

$832.7 - -

03/06/14 Safeway Operator of a chain of stores offering a selection of food and general merchandise

United States Albertsons (Cerberus Capital Management)

$8,198.9 - 13.5x

03/04/14 Wumart Stores Operator of a retail chain of superstores

China Wumei Holdings $559.8 0.20x 4.4x

02/13/14 Sobeys (29 stores) Operator of a chain of grocery stores

Canada Overwaitea Food Group; Federated Co-operatives

$391.0 - -

02/11/14 Walmart Chile Operator of a chain of supermarkets

Chile Inversiones Australes Tres Limitada

$7,575.8 1.36x 15.1x

01/31/14 Izumiya Co. Operator of retail stores that sell groceries and other items

Japan H2O Retailing Corporation $1,099.2 0.33x 11.6x


William Blair

Food For Thought 10 Historical M&A Trends in the Food and Food Retailing Industries

Historical M&A Trends in the Food and Food Retailing Industries

Volume Trends

U.S. Monthly Announced M&A Activity

01/14 2/14 03/14 04/14 05/14 06/14 07/14 08/14 09/14 10/14 11/14 12/14

Food & Beverage Production 13 15 12 17 16 12 12 13 14 14 11 12

Food Retail & Convenience 4 7 3 2 1 1 0 1 1 1 6 6

U.S. Yearly Announced M&A Activity

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014



Total Deal Value $7.9 $13.5 $11.5 $29.1 $33.3 $93.3 $20.5 $39.0 $13.9 $36.0 $43.2 $59.9

Global Yearly Announced M&A Activity

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014



Total Deal Value $41.7 $61.1 $97.8 $94.9 $132.3 $140.5 $72.0 $94.2 $125.4 $127.4 $109.7 $134.2

Note: Data represents announced transactions including U.S.-based targets only Sources: Dealogic and Capital IQ as of December 31, 2014

0

5

10

15

20

10/10 11/10 12/10 1/11 2/11 3/11 4/11 5/11 6/11 7/11 8/11 9/11 10/11

Number of DealsFood & Beverage Production Food Retail & Convenience

1722

1519 17

13 12 1415 15 17

18

0

10

20

30

Number of Deals

$0.0 $20.0 $40.0 $60.0 $80.0 $100.0

050

100150200250

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Deal Value($ in billions)Number of Deals

Food & Beverage Production Food Retail & Convenience Total Deal Value (B)

159181 166

232 223 170

127 129159

185 189194

$0

$40

$80

$120

0

100

200

300

Deal ValueNumber of Deals ($ in billions)

$0.0 $20.0 $40.0 $60.0 $80.0 $100.0

050

100150200250

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Deal Value($ in billions)Number of Deals

Food & Beverage Production Food Retail & Convenience Total Deal Value (B)

994 973 1,0491,193

1,325 1,3111,159 1,199 1,083

979 926 932

$0

$50

$100

$150

$200

0

500

1,000

1,500

Deal ValueNumber of Deals ($ in billions)

William Blair

Food For Thought Historical M&A Trends in the Food and Food Retailing Industries 11

Participant Trends

Breakdown of Acquirers by Type

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Private 43.0% 46.8% 44.1% 43.4% 51.9% 47.2% 50.0% 52.8% 49.5% 53.2% 56.0% 48.6% 47.2%

Public 25.6% 24.0% 27.7% 28.0% 19.6% 21.6% 20.3% 17.4% 18.1% 15.6% 19.5% 25.8% 21.6%

Private Equity 11.0% 11.0% 9.2% 10.1% 13.8% 17.2% 13.1% 13.0% 13.2% 12.2% 7.2% 13.6% 12.5%

Foreign 20.3% 18.2% 19.0% 18.5% 14.6% 14.0% 16.7% 16.8% 19.1% 19.0% 17.3% 12.0% 18.8%

Breakdown of Sellers by Type

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Private 50.0% 30.1% 46.4% 53.1% 50.5% 57.2% 46.3% 53.0% 49.7% 47.1% 53.4% 55.2% 53.4%

Public 2.5% 3.3% 6.4% 5.6% 2.0% 1.7% 3.7% 5.1% 6.1% 4.8% 2.5% 4.9% 7.4%

Private Equity 4.2% 17.1% 7.9% 9.1% 12.4% 8.1% 8.0% 8.5% 14.0% 5.3% 8.1% 7.8% 8.0%

Divestiture 43.2% 49.6% 39.3% 32.2% 35.1% 32.9% 42.0% 33.3% 30.2% 42.8% 36.0% 32.1% 31.3%

Note: Data represents announced transactions including U.S.-based targets only Sources: Dealogic and Capital IQ as of December 31, 2014

0.0%10.0%20.0%30.0%40.0%50.0%60.0%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011YTD

Percent of Deals

Private Public Private Equity Foreign

0%

10%

20%

30%

40%

50%

60%

Percent of Deals

0.0%10.0%20.0%30.0%40.0%50.0%60.0%70.0%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011YTD

Percent of Deals

Private Public Private Equity Divestiture

0%

10%

20%

30%

40%

50%

60%

70%

Percent of Deals

William Blair

Food For Thought 12 Historical M&A Trends in the Food and Food Retailing Industries

Valuation Trends

Average EBITDA Multiples for Food Transactions(1)

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Average EV/EBITDA Multiple 8.6x 8.4x 9.1x 11.4x 9.9x 12.0x 10.4x 9.3x 8.2x 11.8x 13.2x 13.0x 13.0x

Number of Disclosed Deals 20 25 20 14 28 23 20 14 11 7 17 22 34

Average EBITDA Multiples for Beverage Transactions(2)

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Average EV/EBITDA Multiple 9.5x 11.8x 14.1x 12.0x 13.5x 13.4x 17.3x 11.7x 10.9x 9.8x 13.6x 14.5x 11.8x

Number of Disclosed Deals 15 9 16 12 15 5 4 9 1 3 6 4 13

(1) Excludes Food & Convenience retail transactions (2) Includes alcoholic and nonalcoholic beverages Note: Data represents global transactions announced in the respective sectors Note: Transactions with multiples that are not meaningful are categorized as undisclosed Sources: Dealogic and William Blair as of December 31, 2014

12.0x8.7x 8.6x 8.4x 9.1x

11.4x 9.9x12.0x 10.4x 9.3x 8.2x

11.8x

051015202530

0.0x2.0x4.0x6.0x8.0x

10.0x12.0x14.0x

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 YTD 2011

Average EV/EBITDA Multiple Number of Disclosed Deals

8.6x 8.4x

9.1x11.4x

9.9x

12.0x

10.4x9.3x

8.2x

11.8x

13.2x 13.0x 13.0x

0

5

10

15

20

25

30

35

40

0.0x

5.0x

10.0x

15.0x

20.0x

EV/EBITDA Multiple

10.1x 12.9x 9.5x 11.8x 14.1x 12.0x 13.5x 13.4x 17.3x 11.7x 10.9x 9.8x

0246810121416180.0x5.0x10.0x15.0x20.0x

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 YTD2011

Average EV/EBITDA Multiple Number of Disclosed Deals

9.5x

11.8x14.1x

12.0x13.5x 13.4x

17.3x

11.7x10.9x

9.8x

13.6x14.5x

11.8x

0

5

10

15

20

0.0x

5.0x

10.0x

15.0x

20.0x

25.0x

EV/EBITDA Multiple

William Blair

Food For Thought Public Company Trading Statistics 13

Public Company Trading Statistics

Food Production Companies

($ in millions) % Change Forward Enterprise Value/LTM

Company Market Cap MTD YTD P/E PEG Enterprise Value Sales EBITDA

Nestlé $234,344.8 (2.2%) 0.1% NA NA $258,229.9 2.55x 13.6x

Unilever $116,325.8 (3.2%) (0.4%) 17.2x 172.1% $129,810.6 1.96x 11.7x

Mondelez International $61,023.2 (7.3%) 2.9% 18.3x 170.1% $77,233.2 2.21x 15.0x

Danone $39,499.0 (6.6%) (8.5%) 16.0x 184.6% $51,575.1 1.82x 12.0x

Associated British Foods $38,656.7 (1.9%) 21.3% 28.1x 290.1% $39,893.7 1.90x 15.6x

General Mills $32,197.9 1.1% 6.9% 17.8x 226.8% $43,177.9 2.43x 13.0x

Kellogg Company $23,233.4 (1.2%) 7.2% 15.4x 197.6% $30,581.4 2.10x 8.1x

The Hershey Company $22,955.0 3.6% 6.9% 23.0x 270.1% $24,900.6 3.38x 15.5x

ConAgra Foods $15,452.3 (0.7%) 7.7% 15.7x 236.0% $23,919.2 1.35x 10.1x

Tyson Foods $15,041.9 (5.3%) 19.8% 13.5x 159.3% $22,794.9 0.61x 10.9x

Campbell Soup Company $13,787.1 (2.8%) 1.7% 17.2x 286.9% $17,605.1 2.13x 11.3x

Hormel Foods Corporation $13,735.5 (1.8%) 15.3% 23.3x 273.9% $13,657.7 1.50x 13.2x

Grupo Bimbo $12,967.5 (1.9%) (10.2%) 23.1x 51.4% $17,319.7 1.26x 11.6x

JBS $12,197.6 (9.5%) 13.5% 11.4x NA $23,360.7 0.51x 6.1x

Saputo $11,779.0 3.8% 32.4% 9.6x 95.9% $13,602.9 1.50x 14.0x

George Weston $11,096.3 (1.9%) 18.8% 15.9x 158.8% $28,733.0 0.86x 16.4x

The J. M. Smucker Company $10,281.5 (1.6%) (2.5%) 16.1x 208.0% $12,596.4 2.29x 10.6x

McCormick & Company $9,615.4 0.0% 7.8% 22.5x 272.7% $10,899.5 2.57x 15.0x

Pilgrim's Pride Corporation $8,493.6 1.5% 101.8% 45.5x NA $8,130.4 0.95x 6.9x

ARYZTA $6,830.4 (2.9%) 0.9% 13.3x 45.1% $9,167.5 1.42x 10.3x

The Hain Celestial Group $5,882.6 3.0% 28.4% 17.0x 114.6% $6,677.4 2.89x 23.7x

Flowers Foods $4,028.5 (1.6%) (10.6%) 16.3x 152.6% $4,837.0 1.30x 11.4x

Treehouse Foods $3,620.2 5.7% 24.1% 21.3x 199.8% $5,151.7 1.91x 15.2x

Lancaster Colony Corporation $2,560.4 (0.3%) 6.2% 22.8x 207.7% $2,332.8 2.22x 13.6x

Tootsie Roll Industries $2,444.4 5.2% (3.0%) NA NA $2,372.2 4.38x 23.4x

Snyder's-Lance $2,146.8 0.9% 6.6% 21.7x 144.6% $2,484.3 1.36x 12.9x

J&J Snack Foods Corp. $2,030.4 3.5% 22.8% 28.5x 317.2% $1,939.2 2.11x 13.4x

Sanderson Farms $1,945.3 (3.2%) 16.2% 9.2x NA $1,799.7 0.66x 4.8x

Cal-Maine Foods $1,888.3 (6.8%) 29.6% 8.1x NA $1,743.9 1.18x 8.0x

Fresh Del Monte Produce $1,887.4 (0.6%) 18.6% 14.0x 279.6% $2,029.8 0.52x 8.7x

Post Holdings $1,879.2 4.7% (15.0%) 45.6x 569.9% $5,507.4 3.32x 22.4x

Dean Foods Company $1,818.3 13.7% 12.7% 18.1x 245.9% $2,766.1 0.29x 12.6x

B&G Foods $1,604.5 4.5% (11.8%) 16.6x NA $2,643.9 3.22x 14.1x

Diamond Foods $886.9 (5.2%) 9.2% 33.1x 300.7% $1,534.6 1.77x 18.8x

Lotus Bakeries $882.0 (1.5%) 14.9% 18.2x 181.9% $959.7 2.06x 12.1x

Calavo Growers $818.0 10.2% 56.3% 29.4x 255.4% $846.0 1.10x 20.2x

Chiquita Brands International $681.2 0.0% 23.6% 13.0x 325.7% $1,275.7 0.41x 12.7x

Boulder Brands $676.1 2.4% (30.3%) 19.3x 110.0% $965.8 1.88x 14.1x

John B Sanfilippo & Son $503.5 8.8% 84.4% NA NA $560.6 0.69x 9.8x

Seneca Foods Corp. $300.5 (0.1%) (15.2%) NA NA $638.0 0.48x 18.3x

Inventure Foods $248.9 (7.7%) (3.9%) 18.5x 135.4% $337.1 1.24x 14.9x

Bridgford Foods Corp. $70.7 1.3% (19.1%) NA NA $69.7 0.53x NMF

Golden Enterprises $41.5 (8.7%) (13.8%) NA NA $47.5 0.35x 7.5x

Mean (0.3%) 11.0% 19.8x 213.8% $21,086.3 1.66x 13.2x

Median (0.7%) 7.2% 17.8x 203.8% $5,507.4 1.50x 13.0x

Note: Data as of December 31, 2014 Sources: FactSet Research Systems, Bloomberg, and Capital IQ; data is sometimes based on reported results and includes estimates

William Blair

Food For Thought 14 Public Company Trading Statistics

Food Ingredients Companies



Givaudan $16,616.2 1.3% 26.2% 22.3x 185.6% $17,817.9 3.65x 17.8x

Kerry Group $12,144.6 (6.9%) (0.7%) 16.5x 145.4% $13,688.1 1.73x 14.4x

International Flavors & Fragrances $8,207.3 0.2% 17.9% 18.4x 262.6% $8,750.6 2.86x 13.0x

Symrise $7,876.9 1.5% 31.5% 22.5x 169.7% $9,442.4 3.75x 18.1x

Barry Callebaut $5,637.1 (3.9%) (18.1%) 17.6x 80.5% $7,613.2 1.19x 13.8x

Sensient Technologies Corporation $2,905.8 2.4% 24.4% 18.5x 194.5% $3,340.6 2.29x 12.4x

Frutarom Industries $1,804.5 19.8% 46.9% 20.4x NA $1,973.7 2.60x 14.8x

T. Hasegawa Co. $589.3 0.7% 3.0% 15.6x NA $400.2 0.89x 5.4x

Takasago International Corporation $451.2 (1.4%) (19.2%) 11.2x NA $774.6 0.60x 8.6x

Mean 1.5% 12.4% 18.1x 173.1% $7,089.0 2.17x 13.1x

Median 0.7% 17.9% 18.4x 177.7% $7,613.2 2.29x 13.8x

Beverage Production Companies



The Coca-Cola Company $184,928.4 (5.8%) 2.2% 18.9x 229.3% $203,247.4 4.40x 15.5x

Anheuser-Busch InBev $182,555.5 (3.3%) 6.8% 19.1x 152.4% $229,221.5 4.90x 12.7x

Pepsico $141,519.1 (5.5%) 14.0% 19.3x 235.0% $161,334.1 2.41x 12.6x

SABMiller $84,173.2 (6.0%) 2.0% 18.6x 145.7% $98,946.2 5.83x 16.9x

Diageo $72,196.0 (7.0%) (13.0%) 16.8x 163.7% $88,701.6 5.06x 15.2x

Keurig Green Mountain $21,449.3 (6.9%) 75.3% 34.6x 191.5% $20,882.3 4.44x 17.3x

Constellation Brands $18,965.4 1.8% 39.5% 21.8x 163.1% $26,058.7 4.44x 15.3x

Brown-Forman Corporation $18,564.9 (9.5%) 16.2% 24.6x NA $19,451.9 6.37x 19.2x

Monster Beverage Corporation $18,163.6 (3.4%) 59.9% 36.6x 261.7% $17,167.2 7.15x 23.8x

Dr Pepper Snapple Group $13,935.2 (3.1%) 47.1% 19.5x 264.1% $16,210.2 2.67x 11.1x

Molson Coors Brewing Company $13,876.5 (3.7%) 32.7% 17.2x 224.8% $16,635.7 3.96x 20.2x

Coca-Cola Enterprises $10,689.5 0.6% 0.2% 13.7x 152.6% $14,619.5 1.75x 10.2x

The WhiteWave Foods Company $6,100.8 (4.5%) 52.5% 30.5x 174.1% $7,430.0 2.32x 20.3x

Boston Beer Co. $3,782.5 10.1% 19.7% 39.7x NA $3,725.9 4.18x 20.9x

National Beverage Corp. $1,048.3 (10.0%) 12.2% NA NA $1,021.1 1.60x 12.7x

Coca-Cola Bottling Co. $816.2 (6.9%) 20.3% 24.1x NA $1,369.7 0.81x 11.0x

Cott Corporation $643.3 5.0% (14.1%) 14.7x NA $1,211.3 0.59x 6.9x

Farmer Brothers Co. $471.2 3.3% 26.6% 29.1x 145.6% $455.1 0.85x 14.7x

Lifeway Foods $302.9 0.1% 16.0% 35.6x 222.7% $306.3 2.66x NMF

Jones Soda Co. $14.3 (16.7%) (27.1%) NA NA $13.8 1.04x NMF

Mean (3.6%) 19.5% 24.1x 194.7% $46,400.5 3.37x 15.4x

Median (4.1%) 16.1% 20.6x 182.8% $16,422.9 3.31x 15.3x

Note: Data as of December 31, 2014 Sources: FactSet Research Systems, Bloomberg, and Capital IQ; data is sometimes based on reported results and includes estimates

William Blair

Food For Thought Public Company Trading Statistics 15

Food Retail Companies



The Kroger Co. $31,547.9 7.3% 62.4% 18.2x 202.1% $42,844.9 0.41x 9.1x

Whole Foods Market $18,151.7 2.8% (12.8%) 31.9x 178.0% $17,470.7 1.23x 13.2x

Safeway $8,095.2 0.8% 7.8% 29.4x 319.4% $9,497.7 0.26x 6.0x

Sprouts Farmers Market $5,140.4 6.9% (11.6%) 40.3x NA $5,406.5 1.90x 22.1x

United Natural Foods $3,866.4 2.8% 2.6% 29.0x 189.7% $4,396.3 0.65x 16.8x

SUPERVALU $2,532.8 3.6% 33.1% 14.5x NA $5,199.8 0.30x 6.5x

The Fresh Market $1,995.9 0.6% 1.7% 22.7x 114.4% $2,006.0 1.22x 11.6x

Weis Markets $1,286.3 3.7% (9.0%) NA NA $1,191.8 0.43x 7.5x

Smart & Final Stores(1) $1,149.5 0.4% 31.1% 21.5x NA $1,629.7 0.49x 10.7x

SpartanNash Company $980.1 12.0% 7.7% 13.4x 133.8% $1,529.0 0.21x 7.6x

Ingles Markets $751.4 36.7% 36.9% 18.1x 160.1% $1,680.1 0.44x 7.8x

Natural Grocers by Vitamin Cottage $633.5 25.3% (33.6%) 43.5x 164.0% $650.3 1.30x 16.6x

Village Super Market $384.8 14.0% (11.7%) NA NA $362.2 0.24x 7.0x

Roundy's $233.1 20.1% (50.9%) 12.3x 46.2% $843.4 0.20x 6.0x

Fairway Group Holdings Corp. $136.9 (15.1%) (82.7%) NMF NA $356.3 0.45x 12.1x

Mean 8.1% (4.3%) 24.6x 167.5% $6,337.6 0.65x 10.7x

Median 3.7% (3.7%) 22.1x 164.0% $1,680.1 0.44x 9.1x

Convenience Store Companies



Alimentation Couche-Tard $23,990.1 18.5% 67.7% 27.9x NA $25,655.3 0.67x 15.8x

Casey's General Stores $3,488.8 7.9% 28.6% 22.5x 202.4% $4,271.1 0.58x 11.3x

The Pantry $868.8 39.6% 120.9% 162.8x 1479.6% $1,720.5 0.25x 8.5x

Mean 22.0% 72.4% 71.1x 841.0% $10,549.0 0.50x 11.9x

Median 18.5% 67.7% 27.9x 841.0% $4,271.1 0.58x 11.3x

(1) Company had an initial public offering in 2014 – performance over pricing Note: Data as of December 31, 2014 Sources: FactSet Research Systems, Bloomberg, and Capital IQ; data is sometimes based on reported results and includes estimates

William Blair

Food For Thought 16 Same-Store Growth – Food & Convenience Retail

Same-Store Growth – Food & Convenience Retail

Grocery Stores & Supermarkets

Sprouts Farmers Market 9.0%

Smart & Final Stores 6.6%

Kroger(1) 5.6%

Publix Super Markets 5.0%

Natural Grocers by Vitamin Cottage 3.7%

The Fresh Market 3.3%

Whole Foods Market 3.1%

Weis Markets 2.6%

Safeway(1) 1.8%

Village Super Market 1.6%

Ingles Markets 0.9%

SpartanNash 0.4%

SUPERVALU 0.4%

Roundy's (2.7%)

Fairway Group Holdings (3.9%)

Convenience Stores

Casey's General Stores 6.6%

Alimentation Couche-Tard 2.8%

The Pantry 2.5%

(1) Excludes fuel sales Note: Bolded companies reflect recently announced same-store sales data (announced in December 2014) Note: Data represents growth in the most recent reported fiscal quarter over the year-ago period Sources: Company filings and Capital IQ as of December 31, 2014

William Blair

Food For Thought U.S. Public Equity Financing Summary – LTM 17

U.S. Public Equity Financing Summary – LTM

IPOs

($ in millions)

At Filing At Pricing Pricing & Performance - % Change Offer/

Initial Filing Date

Offer Date Ticker Issuer

Shares/ ADS Exc. Ovl.

Filing Range

Deal Value at Midpoint

Shares/ADS Inc. Ovl.

Offer Price

Deal Value

Market Value

Relative to Range 1 Day 1 Month 3 Months Current

06/20/14 09/23/14 SFS Smart & Final Stores 13.5 $12.00 - $14.00

175.5 15.5 $12.00 $186.0 $852.7 In Range 4.2% 9.2% 29.2% 31.1%

Mean 4.2% 9.2% 29.2% 31.1%

Median 4.2% 9.2% 29.2% 31.1%

Follow-Ons

($ in millions)

Pricing Performance - % Change

% Shares Offered Last Trade Before

Pricing Date Ticker Issuer Business Description

Shares/ ADS Offered (mm)

Offer Price

Deal Value (mm) Primary Secondary

Filing/ Offer

Offer/ Offer

Offer/ Current

11/17/14 PF Pinnacle Foods Manufacturer and marketer of convenience food products

20.0 $32.11 $642.2 0% 100% 4.8% 4.8% 9.9%

11/10/14 SFM Sprouts Farmers Market Specialty retailer of natural and organic food

15.0 $29.38 $440.7 0% 100% 7.9% 7.9% 15.7%

09/11/14 SNAK Inventure Foods Manufacturer and marketer of natural snack food products

3.6 $12.85 $46.2 0% 100% (9.7%) (4.6%) (0.9%)

09/08/14 PF Pinnacle Foods Manufacturer and marketer of convenience food products

15.0 $31.90 $478.5 0% 100% 6.0% 6.0% 10.7%


15.0 $30.00 $450.0 0% 100% 5.6% 8.5% 13.3%

07/30/14 TSN Tyson Foods Producer and distributor of chicken and related food products

23.8 $37.80 $900.0 100% 0% 5.4% 3.6% 12.3%

07/16/14 THS Treehouse Foods Manufacturer and distributor of food and beverage products

4.3 $75.50 $325.0 100% 0% 4.0% 2.2% 13.3%

05/21/14 POST Post Holdings Manufacturer and marketer of convenience food products

5.5 $47.70 $262.4 100% 0% (1.6%) (2.5%) (12.2%)


15.0 $33.75 $506.3 0% 100% 12.5% 4.5% 0.7%

03/12/14 POST Post Holdings Manufacturer and marketer of convenience food products

5.0 $55.00 $275.0 100% 0% 8.1% (0.1%) (23.8%)

02/03/14 RNDY Roundy's Operator of a supermarket chain in the Midwest

8.8 $7.00 $61.9 33% 67% 25.9% 21.1% (30.9%)

Mean 6.3% 4.7% 0.7%

Median 5.6% 4.5% 9.9%

Sources: Dealogic and FactSet Research Systems Note: LTM as of December 31, 2014

William Blair

Food For Thought 18 Selected Upcoming Industry Events

Selected Upcoming Industry Events

Date Event Location

January 2015

11-13 Winter Fancy Food Show San Francisco, CA

12-14 NW Food Manufacturing & Packaging Exposition Portland, OR

14-15 MarcabyBolognaFiere Bologna, Italy

18-20 Retail Industry Leaders Association – The Leadership Forum Amelia Island, FL

24-27 FMI’s Midwinter Executive Conference Miami Beach, FL

27-29 International Production & Processing Expo Atlanta, GA

February 2015

1-6 NAFDMA Convention Nashville, TN

4-6 Convenience Retailing University Dallas, TX

8-11 N.G.A. 2015 Annual Convention and Supermarket Synergy Showcase Las Vegas, NV

15-18 IFA’s Annual International Franchise Convention Las Vegas, NV

16-19 NCA State of the Industry Conference Miami, FL

21-25 AFFI Frozen Food Convention Anaheim, CA

22-24 AMI Foundation Annual Meat Conference Nashville, TN

22-25 RILA Supply Chain Conference Orlando, FL

24-26 Snack, Beverage & Grocery EPPS Jacksonville, FL

March 2015

2-4 FMI Annual Business Conference Chicago, IL

5-8 Natural Products Expo West Anaheim, CA

9-12 FMI Asset Protection Conference Memphis, TN

15-17 Seafood Expo North America & Seafood Processing North America Boston, MA

22-25 Restaurant Leadership Conference Scottsdale, AZ

22-26 NACS Global Forum Singapore

22-26 AFFI Annual Food and Beverage Environmental Conference Point Clear, Ala

28-1 American Bakers Association Annual Convention Orlando, FL

April 2015

12-15 Grocery Manufacturers Association Science Forum National Harbor, MD

14-16 NACS State of the Industry Summit Chicago, IL

15-16 NGA Day in Washington (NGA, FMI and FIAE) Washington, DC

May 2015

3-6 RILA Asset Protection Conference Orlando, FL

3-6 FMI’s 2015 Financial Executive Conference and Internal Auditing Conference (Co-Located) New Orleans, LA

16-19 NRA Restaurant Hotel Motel Show Chicago, IL

18-20 CSP Leadership and Crisis Prevention Forum Denver, CO

19-20 PLMA’s Annual “World of Private-Label” Amsterdam

19-21 NCA Sweets & Snacks Expo Chicago, IL

31-Jun 2 AFFI Food Logistics Forum Incline Village, NV

31-Jun 4 NGA Leadership Development Program (Cornell) Ithaca, NY

William Blair

Food For Thought Selected Upcoming Industry Events 19

Date Event Location

June 2015

7-9 International Dairy Deli Bakery Association Annual Convention "Dairy-Deli-Bake" Atlanta, GA

7-11 NGA Leadership Development Program (USC) Los Angeles, CA

7-12 Insight NACS Future of Convenience London, UK

8-11 United Fresh 2015 Chicago, IL

9-11 FMI Connect Chicago, IL

22-24 Foodservice at Retail Expo 2015 Nashville, TN

28-29 TRA Marketplace (formerly Southwest Foodservice Expo) Dallas, TX

28-30 NASFT – Summer International Fancy Food & Confection Show New York, NY

July 2015

20-23 NBJ Summit Dana Point, CA

26-28 The International Foods Planning TBD

27-29 Center Store Grocery, Snack & Beverage Planning TBD

August 2015

22-25 NACDS Total Store Expo Denver, CO

September 2015

1-2 Food Evolution Summit Phoenix, AZ

15-18 RILA Retail Sustainability Conference Austin, TX

16-18 NCA Washington Forum Washington D.C

17-19 All Things Organic - BioFach America Baltimore, MD

17-20 Natural Products Expo East Baltimore, MD

20-22 MUFSO Conference Dallas, TX

20-23 Candy Annual Planning Chandler, AZ

28-29 Canadian Federation of Independent Grocers-Grocery Innovations Toronto, Canada

October 2015

10-13 National Frozen and Refrigerated Foods Convention Dallas, TX

11-14 NACS Show Las Vegas, NV

13-15 Shopper Marketing Expo Minneapolis, MN

15-18 PROCESS EXPO Chicago, IL

18-20 Consumer Goods Forum: Future Leaders Congress Rio De Janeiro, Brazil

23-25 Fresh Summit International Convention & Exposition Atlanta, GA

26-27 IFE Americas Food & Beverage Show Miami, FL

28-29 National Chicken Council - Annual Conference Washington, DC

November 2015

10-11 Kosherfest Secaucus, NJ

14-16 Outlook Leadership 2015 (CSP) TBD

15-17 PLMA's Private Label Trade Show Chicago, IL

December 2015

3-6 SOHO Expo Orlando, FL

William Blair

Food For Thought 20 General Market Update

General Market Update

Percentage Change

As of 12/31/14 Month-to-Date Year-to-Date

Equity Market Indices

Dow Jones Industrial Average $17,823.07 (0.0%)

7.5%

Nasdaq Composite $4,736.06 (1.2%) 13.4%

S&P 500 $2,058.90 (0.4%) 11.4%

S&P Food Products Index $495.06 (2.1%) 10.1%

S&P Food & Staples Retail Index $384.56 2.7% 21.0%

S&P Restaurants Index $839.34 (0.7%) 4.3%

WB Corporate Finance Indices(1)

Food Index $850.92 0.4%

16.9%

Ingredients Index $966.46 2.1% 25.7%

Beverage Index $4,171.71 (5.1%) 7.5%

Food Retail Index $971.95 4.9% 20.7%

Convenience Store Index $26,227.59 19.1% 77.2%

Currencies

Dollar to Canadian Dollar $1.16 1.6%

9.0%

Dollar to Euro $0.83 3.0% 13.9%

Dollar to Peso $14.74 6.0% 12.5%

Dollar to Pound $0.64 0.4% 6.2%

Commodities(2)

Coffee Beans (Cents and 1/100 of a Cent Up to 2 Decimal Places) $1.67 (11.1%)

50.5%

Corn (Cents per Bushel) $3.97 2.1% (5.9%)

Milk (Cents per 2,000 lbs.) $0.16 (11.6%) (17.7%)

Cocoa (Dollars per Metric Ton) $2,910.00 2.4% 7.4%

Oil (Dollars per Barrel) $53.27 (19.5%) (45.9%)

Soybean Oil (Cents per Bushel) $0.32 (0.5%) (17.9%)

World Sugar (Cents and 1/100 of a Cent up to 2 Decimal Places) $0.15 (6.9%) (11.5%)

Wheat (Cents per Bushel) $5.90 1.9% (2.6%)

Yield (%) 52-Week Range

As of 12/31/14

52-Week Low Latest

52-Week High

INTEREST RATES

10-Year Treasury 2.2% 2.1% 3.0%

30-Year Treasury 2.7% 2.7% 3.9%

3-Month LIBOR 0.3% 0.2% 0.3%

Fed Funds Effective Rate 0.1% 0.1% 0.1%

Prime Rate 3.3% 3.3% 3.3%

(1) WB Corporate Finance indices are determined by FactSet Research Systems, as of December 31, 2014. Data is based on a weighted average by market capitalization calculation. (2) Commodities represent futures prices Source: FactSet Research Systems as of December 31, 2014 WB Corporate Finance Food Index includes: ARYZTA, Associated British Foods, B&G Foods, Bridgford Foods, Calavo Growers, Cal-Maine Foods, Campbell Soup, Chiquita Brands International, ConAgra Foods, Danone, Dean Foods, Diamond Foods, Dole Food Company, Flowers Foods, Fresh Del Monte Produce, General Mills, George Weston Limited, Golden Enterprises, Grupo Bimbo, Hormel Foods, Inventure Foods, J&J Snack Foods, JBS, John B Sanfilippo & Son, Kellogg Company, Kraft Foods, Lancaster Colony Corporation, McCormick & Co., Nestlé, Overhill Farms, Pilgrim’s Corp., Post Holdings, Sanderson Farms, Saputo, Seneca Foods, Nestlé, Ralcorp Holdings, Reddy Ice Holdings, Sanderson Farms, Saputo, Sara Lee, Seneca Foods, Smart Balance, Smithfield Foods, Snyder’s-Lance, The Hain Celestial Group, The Hershey Company, The J. M. Smucker Company, Tootsie Roll Industries, Treehouse Foods, Tyson Foods, Unilever WB Corporate Finance Beverage Index includes: Anheuser-Busch InBev, Boston Beer Co., Brown-Forman Corporation, Coca-Cola Bottling Co. Consolidated, Coca-Cola Enterprises, Constellation Brands, Cott Corporation, Diageo, Dr Pepper Snapple Group, Farmer Brothers Co., Green Mountain Coffee Roasters, Jones Soda Co., Lifeway Foods, Molson Coors Brewing Company, Monster Beverage Corporation, National Beverage, PepsiCo, SABMiller, The Coca-Cola Company WB Corporate Finance Ingredients Index includes: Barry Callebaut, Frutarom Industries, Givaudan, International Flavors & Fragrances, Kerry Group, Sensient Technologies Corporation, Symrise, T. Hasegawa Co., Takasago International WB Corporate Finance Food Retail Index includes: Arden Group (Gelson’s), Fairway Group Holdings, Harris Teeter Supermarkets, Ingles Markets, Nash Finch, Roundy’s, Safeway, Smart & Final Stores, Spartan Stores, SUPERVALU, The Fresh Market, The Kroger Co., United Natural Foods, Village Super Market, Vitamin Cottage Natural Food Markets, Weis Markets, Whole Foods Market WB Corporate Finance Convenience Store Index includes: Alimentation Couche-Tard, Casey’s General Stores, Pantry

0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0%

Quarterly Market

Update – All

Industries

William Blair

Food For Thought Domestic M&A Market Summary 21

Domestic M&A Market Summary

U.S. Activity Trends

M&A Activity

Number of Deals

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

>$750M 147 233 281 362 460 228 156 287 262 301 310 372

Mid-Cap 4,239 4,527 4,453 4,548 4,537 4,766 4,144 6,224 5,360 5,153 4,258 3,880

Undisclosed 4,406 5,174 5,353 7,510 8,343 6,494 5,075 6,238 7,775 9,189 7,630 8,461

Deal Value $688 $992 $1,297 $1,647 $1,750 $1,075 $886 $1,048 $1,174 $1,080 $1,242 $1,806

Mid-Cap M&A Activity

Number of Deals

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

$250M-$750M 314 402 424 536 627 417 269 457 475 463 523 504

$50M-$250M 1,065 1,218 1,265 1,294 1,333 1,195 791 1,138 1,148 1,148 1,094 1,137

$750M 33 61 84 106 149 64 34 94 88 92 93 115

Mid-Cap 626 906 859 998 826 788 742 869 698 688 557 534

Undisclosed 541 679 869 1,143 1,341 969 686 1,013 1,249 1,384 1,238 1,507

Deal Value $120.4 $224.6 $287.6 $523.7 $644.3 $243.7 $149.3 $272.3 $268.6 $262.1 $307.5 $382.5

Note: Year-to-date as of December 31, 2014 Sources: Dealogic and William Blair’s mergers-and-acquisitions market analysis. Data represents announced deals only

8,792 9,934 10,08712,420 13,340 11,488

9,37512,749 13,397 14,643 12,198 12,713

$0

$600

$1,200

$1,800

0

6,000

12,000

18,000

Deal Value($ in billions)

Number of Deals Undisclosed Middle Market >$750M Deal Value

4,239 4,527 4,4534,548

4,537 4,7664,144 6,224 5,360 5,153 4,258 3,880

$0

$200

$400

$600

0

10,000

Deal Value($ in millions)

Number of Deals $750M Deal Value

William Blair

Food For Thought 22 Domestic M&A Market Summary

U.S. Valuation Trends

Median EV/EBITDA Multiples

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Mid-Cap 7.5x 7.4x 8.7x 10.1x 10.0x 9.5x 7.9x 6.4x 9.3x 10.0x 9.1x 9.9x 10.2x

Overall Market 7.9x 8.0x 9.1x 10.3x 11.0x 11.2x 9.0x 7.4x 9.9x 10.8x 9.6x 10.0x 11.2x

Median EV/EBITDA Mid-Cap Multiples

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

< $50M 4.1x 7.1x 6.4x 7.2x 10.2x 7.8x 4.9x 3.9x 8.8x 9.0x 6.8x 8.1x 7.7x

$50M-$250M 7.5x 6.9x 8.7x 11.3x 9.5x 10.4x 9.1x 7.1x 9.3x 10.0x 9.2x 11.3x 10.1x

$250M-$750M 9.7x 9.2x 9.1x 10.0x 11.0x 9.4x 8.3x 7.9x 9.7x 10.7x 10.2x 12.9x 10.5x

Average Acquisition Premiums

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

1-Week Premium 36% 32% 28% 26% 26% 27% 36% 38% 34% 36% 36% 23% 31%

4-Week Premium 38% 40% 32% 31% 31% 29% 37% 41% 38% 39% 39% 30% 34%

Notes: Data limited to a range of 1 to 100 and LTM is as of December 31, 2014 Sources: Dealogic and William Blair’s mergers-and-acquisitions market analysis. Data represents announced deals only

3.0x

6.0x

9.0x

12.0x

15.0x

Middle Market Overall Market

0.0x

4.0x

8.0x

12.0x

16.0x< $50M $50M-$250M $250M-$750M

20%

30%

40%

50%

1-Week Premium 4-Week Premium

William Blair

Food For Thought Domestic M&A Market Summary 23

U.S. Equity Capital Markets Summary

Historical IPO Issuance

Historical Follow-On Issuance

Note: Excludes follow-on offerings for CLEFs, REITs, and SPACs

IPO Pricings by Sector – Last 4 Quarters:

243 Total Deals

Follow-on Pricings by Sector – Last 4 Quarters:

694 Total Deals

Sources: Dealogic and William Blair’s mergers-and-acquisitions market analysis

54

139

95 105

175

243

28 3513 19

3925 20 21 21

50 48 5663 70 54 56

0

50

100

150

200

250

2009 2010 2011 2012 2013 2014 1Q 11 2Q 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14

564506

399470

657612

135 128

5086

13098 115 127

152 139173 193 198 183

120 111

0

100

200

300

400

500

600

700

2009 2010 2011 2012 2013 2014 1Q 11 2Q 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14

1116

31

100

26

59Business Services

Consumer

Financial

Healthcare

Industrial

Technology

60

48

58

162

177

107 Business Services

Consumer

Financial

Healthcare

Industrial

Technology

William Blair

Food For Thought 24 Debt Capital Markets Summary

Debt Capital Markets Summary

Average Equity Contribution

Quarterly LBO Debt Multiples – Less Than $50 Million EBITDA

Quarterly LBO Debt Multiples – Greater Than $50 Million EBITDA

Sources: Dealogic and Standard & Poor’s as of December 31, 2014

36%

41%38% 40%

35% 34%32%

40%

46% 45%41% 41%

46%43%

31%

37%

32% 32% 30% 29% 30%

38%

47%

40%37% 37%

33%36%

0%

10%

20%

30%

40%

50%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Less than $50 million EBITDA More than $50 million EBITDA

3.6x3.8x 3.7x

4.0x

4.2x

4.2x 4.9x4.8x

4.4x

3.4x

3.8x

4.4x5.0x 5.1x

3.0x3.8x

3.7x

2.2x

4.0x3.8x

4.5x4.8x

3.3x3.1x 3.7x 3.2x

5.0x

5.1x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Total Debt/EBITDA Senior Debt/EBITDA

3.6x3.8x

3.7x

4.0x4.2x

4.2x4.9x 4.8x

4.4x

3.4x

3.8x 4.4x

5.0x 5.1x

3.0x

3.8x

3.7x

2.2x

4.0x 3.8x

4.5x4.8x

3.3x3.1x

3.7x3.2x

5.0x 5.1x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

3.6x3.8x 3.7x

4.0x

4.2x

4.2x 4.9x4.8x

4.4x

3.4x

3.8x

4.4x5.0x 5.1x

3.0x3.8x

3.7x

2.2x

4.0x3.8x

4.5x4.8x

3.3x3.1x 3.7x 3.2x

5.0x

5.1x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Total Debt/EBITDA Senior Debt/EBITDA

4.1x4.5x 4.4x

4.8x 4.9x

5.0x

5.7x

6.8x

4.0x

4.8x

5.3x

4.3x

5.1x

5.5x

3.1x2.6x

2.6x2.9x

2.9x

3.5x

4.4x

6.6x

3.1x

3.9x

5.3x

4.0x

4.9x

5.5x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

William Blair

Food For Thought William Blair Food & Beverage and Food Convenience & Retail Investment Banking 25

William Blair Food & Beverage and Food Convenience & Retail Investment Banking

Food & Beverage Production

Jim Bertram is the global head of the firm’s consumer and retail investment banking group. Before joining William Blair in 2006, he was the co-head of Banc of America Securities’ global consumer products investment banking practice. In this role, he assisted domestic and international consumer products manufacturers and distributors in executing mergers and acquisitions and raising debt and equity capital through both public and private market transactions. Before joining Banc of America Securities, he was responsible for leading Deutsche Bank Alex. Brown’s food-and-beverage investment banking activity. Before working at Deutsche Bank Alex. Brown, he was vice president in the corporate finance department at George K. Baum & Company, an investment and merchant banking firm where he advised clients in executing public equity offerings, mergers and acquisitions, and private debt placements. Mr. Bertram began his career in investment banking at Salomon Brothers.

Mr. Bertram graduated with highest honors from the University of Illinois with a B.S. in finance.

[email protected] +1 312 364 5426

Brent Smith is a managing director in the consumer and retail group. Since joining William Blair in 2000, Mr. Smith has also been a member of the firm’s mergers-and-acquisitions practice and currently heads William Blair’s consumer M&A effort. Over this period, he has worked on a range of public and private M&A, primarily in the consumer and industrial sectors, totaling more than $18 billion in aggregate transaction value. Mr. Smith’s financial advisory experience includes sell-side and buy-side transactions, corporate divestitures, take-private transactions, strategic options studies, valuations, fairness opinions, and special committee situations. Mr. Smith is a member of William Blair’s Fairness Opinion Committee. Before joining William Blair, Mr. Smith worked at both Lehman Brothers and Heitman Financial.

Mr. Smith holds an M.B.A. with honors from the University of Chicago and a B.B.A. with high distinction from the University of Michigan.


Adam Filkin joined William Blair in 2007 and is a managing director in the consumer and retail investment banking group. Mr. Filkin has extensive transaction experience across numerous consumer verticals, including food, consumer products, and personal care. He joined William Blair from Banc of America Securities, the investment banking arm of Bank of America. Mr. Filkin spent three years at Banc of America, serving as an associate in the consumer and retail practice. Before joining Banc of America, Mr. Filkin was a manager at A.T. Kearney, focusing on growth strategies and operational improvement studies for consumer and retail companies. He has more than 10 years of experience working with consumer and retail companies.

Mr. Filkin holds an M.B.A. with a concentration in finance from the University of Chicago and holds a B.S.E. in chemical engineering from the University of Michigan.


William Blair

Food For Thought 26 William Blair Food & Beverage and Food Convenience & Retail Investment Banking

Food & Convenience Retail

Tim Carroll joined William Blair in 2002 and serves as a managing director in the consumer and retail investment banking group. He joined William Blair from Andersen Corporate Finance LLC, the investment banking arm of Andersen. Mr. Carroll spent four years at Andersen, serving as a national director and managing director/co-head of the products and business services industry team. Before joining Andersen, he was a founder and principal of Wyndam Capital, a broker-dealer serving middle-market companies, and a founder and principal of a $120 million private-equity fund. Mr. Carroll has served on the board of directors for seven privately held businesses and has more than 27 years of investment banking experience, 7 years of commercial banking experience, and 2 years of commercial real estate experience.

Mr. Carroll graduated with a B.S. in business finance from Indiana University.


Michael Siska is a managing director in the consumer and retail investment banking group at William Blair. He originally joined the firm in 2002 and then rejoined in 2006 after attaining his M.B.A. at the University of Chicago. Before joining William Blair, Mr. Siska worked in private equity for Allstate Private Equity in Chicago and 3i Group in London. He also spent five years in the products and business services industry group at Andersen Corporate Finance LLC, the investment banking arm of Andersen. He focuses on specialty retail, food retail, restaurants, and consumer services.

Mr. Siska earned an M.B.A. from the University of Chicago and a B.S., with honors, from the University of Illinois at Urbana-Champaign.


Europe

Alex Matthes is a managing director at William Blair. Before he joined William Blair in 2013, Mr. Matthes worked in Commerzbank’s M&A advisory team with a focus on consumer and retail. Before joining Dresdner Kleinwort in 2006 as vice president, he worked in the M&A department of Lazard as analyst and associate since 2000.

Mr. Matthes studied business administration at the universities of Frankfurt and Cologne and obtained a master’s degree in business administration (Diplom Kaufmann) in 2000.


Beth Pickens is a managing director and head of European consumer banking. She joined William Blair in 2000 and has been located in William Blair’s London office since 2001. Ms. Pickens specializes in advising international consumer growth companies across consumer products, personal care, and consumer services. She is also an angel investor in early-stage consumer companies, including Bonobos.com and DefySupply.com.

Ms. Pickens holds a master’s degree in business administration from the University of Chicago Graduate School of Business and a bachelor’s degree in finance from the University of Illinois at Urbana-Champaign. She also completed studies at the Université de Paris IV-Sorbonne. A Chicago native, she lives in London with her husband and children.


William Blair

Food For Thought Recent William Blair Consumer & Retail Transactions 27

Recent William Blair Consumer & Retail Transactions

Not Disclosed

has been acquired by

Wasserstein & Co., LP

December 2014

Not Disclosed


One Rock Capital Partners

December 2014

Not Disclosed


Knowlton Development Corporation

December 2014

Not Disclosed

has acquiredRobert Bosch Tool

Corporation, Garden & Watering Business

December 2014

Not Disclosed


FrutaromIndustries Ltd.

November 2014

€220,000,000


Abris Capital Partners

November 2014

$186,300,000

Follow-on Offering

November 2014

$139,840,000

Follow-on Offering

November 2014

$105,000,000

Follow-on Offering

November 2014

$128,000,000


Post Holdings, Inc.

November 2014

Not Disclosed

Growth Equity Recapitalization

October 2014

Not Disclosed


Monomoy Capital Partners

October 2014

$108,235,280

Initial Public Offering

October 2014

$85,000,000

Senior Credit Facility

September 2014

$53,117,980

Follow-on Offering

September 2014

Not Disclosed

has a strategic investment from

Standard Chartered Private Equity

August 2014

$156,543,750

Follow-on Offering

August 2014

Not Disclosed


Peet’s Coffee & Tea / Next World Capital

August 2014

$123,214,290


July 2014

$89,125,000

Follow-on Offering

July 2014

$373,749,990

Follow-on Offering

July 2014

$171,646,263

Follow-on Offering

June 2014

$202,000,000


Snyder’s Lance

June 2014

CAD$170,000,000


TreeHouse Foods, Inc.

May 2014

Not Disclosed


Milner Milling, Inc.

May 2014

$64,166,663


May 2014

$132,050,000


April 2014

$100,624,980


April 2014

$61,300,000


The HainCelestial Group

April 2014

Not Disclosed


Bregal Partners

March 2014

Not Disclosed


Greencore Group

February 2014

Not Disclosed


ADKM, Inc. (DBA Harry's)

January 2014

Not Disclosed

has been recapitalized by

TZP Group

December 2013

$51,500,000

has divested Mervin Manufacturing Inc. to

Altamont Capital Partners

November 2013

$290,950,000


November 2013

William Blair

Food For Thought 28 William Blair Consumer & Retail Coverage

William Blair Consumer & Retail Coverage

Mark Miller, CFA +1 312 364 8498 Broad Assortment and Hardlines, E-commerce, Health, Beauty, and Convenience

Sharon Zackfia, CFA +1 312 364 5386 Apparel and Accessories, Leisure, Restaurants

Company Ticker Company Ticker

Amazon.com AMZN BJ’s Restaurants BJRI

Blue Nile NILE Bloomin’ Brands BLMN

Cabela’s CAB CarMax KMX

Costco Wholesale Corporation COST Carnival Corporation CCL

CVS Health Corporation CVS Cheesecake Factory (The) CAKE

Dick’s Sporting Goods DKS Chipotle Mexican Grill CMG

Fairway Group Holdings FWM Dunkin’ Brands Group DNKN

Fresh Market (The) TFM El Pollo Loco Holdings LOCO

GNC Holdings GNC Harley-Davidson HOG

JD.com JD Life Time Fitness LTM

MercadoLibre MELI Lululemon Athletica LULU

Natural Grocers by Vitamin Cottage NGVC Panera Bread Company PNRA

Sportsman’s Warehouse Holdings SPWH Papa Murphy’s Holdings FRSH

Target Corporation TGT Potbelly PBPB

Tractor Supply Company TSCO Royal Caribbean Cruises RCL

Vitamin Shoppe VSI Sonic Corp. SONC

Walgreens Boots Alliance WBA Starbucks Corporation SBUX

Wal-Mart Stores WMT Tilly’s TLYS

Wayfair Inc. W Tumi Holdings TUMI

Whole Foods Market WFM Under Armour UA

Zulily ZU Urban Outfitters URBN

Zoe’s Kitchen ZOES

Zumiez ZUMZ

Jon Andersen, CFA +1 312 364 8697 Consumer Products

Daniel Hofkin, Analyst +1 312 364 8965 Hardlines, Specialty Retail

AptarGroup ATR Advance Auto Parts AAP

Boulder Brands BDBD AutoZone AZO

Church & Dwight CHD Bed Bath & Beyond BBBY

Colgate-Palmolive Company CL Luxottica Group LUX

Scotts Miracle-Gro Company (The) SMG Mattress Firm Holding Corp. MFRM

Fox Factory Holding Corp. FOXF O’Reilly Automotive ORLY

Inventure Foods SNAK PetSmart PETM

J&J Snack Foods JJSF Regis Corporation RGS

J.M. Smucker Company (The) SJM Restoration Hardware Holdings RH

Jarden Corporation JAH Ross Stores ROST

Kellogg Company K Steiner Leisure STNR

Keurig Green Mountain GMCR TJX Companies (The) TJX

Mead Johnson Nutrition Company MJN Ulta Salon, Cosmetics & Fragrance ULTA

Perrigo Company PRGO Williams-Sonoma WSM

Prestige Brands Holdings PBH

Procter & Gamble Company (The) PG

SodaStream International SODA

Tempur Sealy International TPX

TreeHouse Foods THS

Amy Noblin, Analyst +1 415 248 2874 Apparel and Accessories

Abercrombie & Fitch ANF Nordstrom JWN

Coach COH Tiffany & Co. TIF

DSW DSW Tumi Holdings TUMI

Francesca’s Holdings FRAN Vera Bradley VRA

Michael Kors Holdings KORS Vince Holding Corp. VNCE

William Blair

Food For Thought Notes 29

Notes

William Blair

William Blair is a trade name for William Blair & Company, L.L.C. and William Blair International, Limited. William Blair & Company, L.L.C., is a Delaware company and is regulated by the Securities and Exchange Commission, The Financial Industry Regulatory Authority, and other principal exchanges. William Blair International Limited is authorised and regulated by the Financial Services Authority ("FSA") in the United Kingdom. William Blair & Company® only offers products and services where it is permitted to do so. Some of these products and services are only offered to persons or institutions situated within the United States and are not offered to persons or institutions outside of the United States. This material has been approved for distribution in the United Kingdom by William Blair International Limited, and is directed only at, professional clients and eligible counterparties (as defined in COBS 3.5 and 3.6 of the FSA Handbook). This advertisement is not intended to be investment advice. William Blair & Company | 222 West Adams Street | Chicago, Illinois 60606 | +1 312 236 1600 | williamblair.com

January 29, 2015

Food For Thought 30 Disclosures

Disclosures

William Blair’s investment banking group combines signi icant transaction experience, rich industry knowledge, and deep relationships to deliver successful advisory and inancing solutions to our global base of corporate clients. We serve both publicly traded

and privately held companies, executing mergers and acquisitions, growth inancing, inancial restructuring, and general advisory projects. This comprehensive suite of

services allows us to be a long-term partner to our clients as they grow and evolve. From 2010-2014, the investment banking group completed more than 330 merger-and-acquisition transactions worth $73 billion in value, involving parties in 36 countries and ive continents, was an underwriter on more than 20% of all U.S. initial public offerings,

and raised nearly $100 billion in public and private inancing.About William Blair Investment Banking

Documents

Food for Thought - William Blair & Company · 2015. 1. 30. · Abafoods . Producer of organic beverages Italy Koninklijke Wessanen $64.9 1.93x - 12/16/14 . Latterie Friulane . Manufacturer