Agribusiness M&A shifts to fewer, larger deals as value creation takes centre stage

Press release

Agribusiness M&A shifts to fewer, larger deals as value creation takes centre stage

04 May 2026

The latest Grant Thornton Agribusiness, Food & Beverage Dealtracker reveals a decisive shift in global M&A activity, with investors favouring fewer but larger, high-quality transactions that prioritise scale, resilience and long-term value creation. Despite a 29 per cent decline in deal volumes, total disclosed transaction value surged 156 per cent to A$147b – the highest since 2018 – driven by a handful of strategic mega-deals.

This reporting period, Australia completed 34 announced deals (down from 49), ranking 7th globally. While Australia continues to attract international investment due to regulatory stability, food security credentials and high-quality assets, domestic buyers accounted for 82 per cent of transactions, with growing interest from Canadian, European and US investors.

Key findings from the 2026 Dealtracker include:

• Deal value surges, volumes decline: Global deal volumes fell to 1,086 – 29 per cent below the long-term average – while total value rebounded to A$147bn, driven by a handful of strategic mega-deals.
• Valuations normalise: Median transaction multiples declined from 11.4x to 9.0x EV/EBITDA which is more consistent with longer term trends, creating opportunities for disciplined buyers and strategic bolt-on acquisitions.
• Downstream sectors dominate: Packaged Foods & Meats accounted for nearly 70 per cent of Australian deals and the majority of global transaction value, benefiting from strong brands, pricing power and proximity to consumers.
• Private capital reshapes growth pathways: IPO volumes remain subdued, with private capital now the preferred route for growth and exit. Asia-Pacific led IPO activity, accounting for 87 per cent of listings.
• Technology, ESG and water security shape investment: AgTech adoption, mandatory climate-related disclosures, and water security are now central to deal attractiveness and due diligence.
• Supply chain resilience as a value driver: Vertical integration and end-to-end control of logistics are increasingly prized, with resilient businesses commanding premium valuations.
• The report also highlights ongoing risks including trade volatility, climate impacts, commodity oversupply, and interest rate pressures. However, capital remains available for businesses that can demonstrate scale, integration, downstream exposure, technology adoption, water security, and ESG transparency.

“While the volume of deals has softened, the market is clearly rewarding quality businesses with scale, integration and the ability to adapt to ongoing volatility,” said Cameron Bacon, Partner and National Head of Agribusiness, Food & Beverage, Grant Thornton Australia. “We’re seeing capital concentrate on resilient, downstream businesses and platforms that can withstand macroeconomic, climate and supply chain shocks.”

“Investors are highly selective, backing businesses that can demonstrate credible sustainability data, technology enablement and control of critical inputs like water. The long-term outlook for the sector remains positive for those able to adapt and act decisively.”

^{Grant Thornton’s Agribusiness, Food and Beverage Dealtracker examines M&A and equity market activity in the Agribusiness, Food & Beverage (Ag, F&B) sector between 1 July 2024 and 31 December 2025 (the Current Period), while our earlier editions (the Historical Period) covered the 13.5-year period from 1 January 2011 to 30 June 2024.}

Experts / Authors

Carla van den Hoorn

Communications Manager at Grant Thornton Australia