Mondelēz International CEO Dirk Van de Put stated that the rising asking price for acquisition targets is making it harder for the company to complete a deal.
According to Van de Put, food companies have been using M&A to address their need for growth, creating a competitive market and pushing up overall valuations. Van de Put made these comments during the Consumer Analyst Group of New York Conference in February.
As reported by Food Dive, Mondelēz has been active in M&A since Van de Put took over in 2017, making roughly a dozen acquisitions to build its position in snacking and premium offerings.
Acquisition Strategy
Despite high valuations, Mondelēz remains on the lookout for potential acquisition targets, prioritizing deals that expand its cakes and pastries business and premium chocolate category.
Each year, the company puts together a list of about 40 potential M&A targets and establishes relationships with smaller businesses to build trust and familiarity.
Industry Trends
Acquisitions by food and beverage companies slowed in 2025 but aggregate deal value rose to $61.5 billion, a 16.3% increase over the prior year, according to PitchBook data.
Other food and beverage companies, such as General Mills and Molson Coors, also plan to use acquisitions to generate growth, while J.M. Smucker has ruled out deal-making in the near future.
Recent Acquisitions
There have been a handful of small acquisitions announced in 2026, including B&G Foods' purchase of broth brands from Del Monte Foods for $110 million and Smithfield Foods' acquisition of Nathan’s Famous for nearly half a billion dollars.
