Setup Menus in Admin Panel

M&A Pitch Book Project – Global

Beyond Meat M&A Pitchbook Case

Project Background

M&As are expected to increase to overcome the poor performance of the Organic Food Industry. Through mergers and acquisitions of existing companies, existing ones have succeeded in promoting sales. Although many M&As have been used to reduce operating costs, innovations, which make a chance for long-term sustainability, need to the current food companies. In the current Organic market, the alternative meat market was judged to be the Niche market. Kraft Heinz, which has a global market distribution chain besides the U.S. market, also seems to have an advantage in securing an alternative meat market share after the merger.

  • Part 1. Investment Rationale
  • Part 2. Target Company Overview: Operation
  • Part 3. Target Company Overview: Financial
  • Part 4. Target Industry Overview: Nutrition and Supplements Market
  • Part 5. Valuation Overview

Project Leaders

Kim, Nam Il

Finance Project Member
FCB Finance Institute

Concentration Area: M&A Advisory


Lee, Hyo Won

Finance Project Member
FCB Finance Institute

Concentration Area: M&A Advisory

Finance Project Portfolio

Part1. Investment Rationale

Heinz’s acquisition of Beyond Meat can offer significant cost reductions for both Heinz and Beyond Meat. It reduces fixed costs, SG&A expenses, and Cost of Goods Sold. On the other side, Heinz and Beyond Meat should produce premium food products to survive in the F&B industry down the road. That is, the acquisition provides the revenue synergies allowing them to take 16% of market share among the U.S alternative market. BYND’s production patent and expanding products can make premium products with Boca Burger(Own by KHC).

Part2. Target Company Overview: Operation

Beyond Meat operates as a No.1 global alternative meat producer. As part of this, Beyond Meat increases dramatically its market share not only In North America but also in the Asia Pacific and Europe. Beyond Meat already has its global market partner in across 40 countries. In the US market, Beyond Meat has 8% of market share, which is the fastest growth velocity in the US alternative meat market. BYND’s products are Non-GMO food and have certification from the Vegan Action Foundation.

Part3. Target Company Overview: Financial – Top Down Approach

Beyond Meat’s Sales increased by 266% in 2018 on year. It has been benefited from the boom of the Fresh Platform Sales, which give consumers a better taste. To us, one of the interesting questions of Beyond is ‘How much will the company’s value be’. We answer this question by using two analyses, one top-down, the other bottom-up. Estimations are conservative with the market-based approach.

Part 4. Target Industry Overview: Nutrition and Supplements Market

The global alternative meat market cap is projected to be $140 billion in 2029. Securing a global market share is essential in the company’s long-term strategy. The Asia-Pacific region would exhibit the highest CAGR of 9.4% during the forecast period, 2018-2025.
Europe dominated the global meat substitute market in 2017, accounting for 38.5% of the total revenue.
It is also important to secure a market share in Asia, where rapid growth is expected, and in Europe, where it has the largest revenue.

Part5. Valuation Overview – Valuation After M&A

With KHC’s Marketing chain supply and Value chain, we can assume that After M&A BYND could get much more market opportunities. Market Penetration is one of the most powerful synergies that BYND can get. 1) US Food-at-Home: Terminal penetration could be higher than before up to 90% of the total market share 2) US/Canada Away-from-Home: Higher opportunity, especially in Burger QSR & Fast Casual, could make $2,364 Million in 10-years Cash Flow. 3) International Food-at-Home Opportunity: Worldwide value chain which KHC get for years of operation help to get more revenue from European countries up to $2,798 Million. By all accounts, we can calculate the Synergy effect as $5Billion which can make $275 per share for a decade

Join a Finance Project

위와 같은 자신만의 금융권 포트폴리오를 만들고 싶으신가요? 이하의 국가별 파이낸스 프로젝트에 참여하셔서 본인의 금융권 커리어를 발전시키시길 바랍니다.

투자은행 IB(M&A)진출 무료특강

금융권 IB(M&A) 부서의 역할 및 인재상 학습ㅣIB(M&A) 입사 지원서 키워드 & 면접 가이드ㅣIB(M&A) 포트폴리오의 중요성

주식 리서치 진출 무료특강

금융 주식 리서치 부서의 역할 및 인재상 학습ㅣ주식리서치 입사 지원서 키워드 & 면접가이드ㅣ리서치 포트폴리오의 중요성

퀀트 운용전략 무료특강

자산 및 파생운용 부서의 역할 및 인재상 학습ㅣ증시 데이터 활용 및 퀀트 백테스트의 중요성ㅣ퀀트 포트폴리오의 중요성

금융권 기본모듈 무료특강

금융권 신입 및 인턴 입사 시 필요한 활동 숙지ㅣ금융권 신입 입사지원서 키워드 & 면접가이드ㅣ금융권 데일리 과제 실습의 중요성


Legal Disclaimer

본 웹페이지에 명시된 디지털 자료는 대중에게 공개되어 있는 공적인 자료 (Public Information/Data)를 기반하여 학습 목적으로 모의로 재구성한 연습 자료 (case study) 로서, 실제 발생한 사건과 연관이 어떠한 경우도 없으며, 본질적으로 차이점을 가질 수 있으며, 작성자 또는 본 금융학회는 이를 바탕으로 어떠한 경제적인 이득을 취하지 않음을 알려드립니다. 이 자료를 바탕으로 금융학회의 동의 없이 사적 및 공적으로 의사 및 투자 결정을 하여도 어떠한 법적인 책임을 지지 않음을 알려드립니다. 이 자료를 학습 목적으로 사용을 원할시 본 금융학회의 서면 동의를 필요하며, 본 금융학회의 동의없이 자료를 금전적인 목적으로 사용을 하였을 시, 저작권법에 의해 법적인 책임을 지을 수 있습니다.  본 웹페이지에 공개된 자료를 기반하여 인재채용 심사 목적으로 자료 전체 열람을 원할시 로 문의바랍니다.

사업자번호: 107-19-79173 · 주소: 서울시 영등포구 국제금융로 20 · 통신판매업: 제2015-서울영등포-1572호 · 대표: 이혁재 · 개인정보관리자: 전신용 · 대표번호: 0507-1393-2118 · 고객문의: · 이용약관 · 개인정보취급방침 COPYRIGHT(C)2021 FCBFI. ALL RIGHTS RESERVED.

Setup Menus in Admin Panel