August 22, 2025

Please see below for a listing of what the North Point Food & Beverage Team has been tracking this week. We hope that you find the content insightful and a nice way to summarize the most noteworthy Food & Beverage events of the week.

Have a nice weekend!

Glen Clarke

Head of Food & Beverage

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80 Acres Farms, Soli Organic merge.

• 80 Acres Farms® and Soli Organic® announced a strategic merger to form one of the world's largest and most advanced indoor farming networks, bringing together decades of leadership in indoor farming. The newly formed company, with projected first-year revenues approaching $200 million, will operate under the 80 Acres Farms name and be headquartered in Hamilton, Ohio.

Source: Mergermarket

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Premier Foods acquires Merchant Gourmet.

• In a move to bolster its presence in the healthy convenience sector, Premier Foods has acquired Merchant Gourmet, a brand known for its ready-to-eat meal pouches centred around pulses and grains.

Source: Food Bev Media

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McCormick to buy additional 25% stake in Mexican JV from Grupo Herdez for USD 750m.

• McCormick & Company Inc., a global leader in flavor, announced that it has signed a definitive agreement, subject to customary closing and regulatory conditions, with Grupo Herdez to acquire an additional 25% ownership interest in McCormick de Mexico, a joint venture formed in 1947, for $750 million.

Source: Mergermarket

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J&K Ingredients acquires NuTek Natural Ingredients IP, related assets.

• J&K Ingredients, a recognized leader in freshness technologies for the bakery industry, announced the acquisition of certain intellectual property and related assets from NuTek Natural Ingredients, a Fargo, North Dakota-based company specializing in clean-label ingredient innovation.

Source: Mergermarket

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Fine Choice Foods set to collect initial bids.

• Fine Choice Foods, a manufacturer and distributor of branded refrigerated Asian food products, is set to collect initial bids this month, according to two sources familiar with the situation. 

Source: Mergermarket

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Brim's explores sale.

• Brimhall Foods, a Memphis, Tennessee-based snacks maker and distributor, to explore a sale, three sources familiar with the situation said. The company, which is known as Brim’s, collected initial bids last week, two sources said.

Source: Mergermarket

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The Better Meat Co raises USD 31m.

• Californian food tech startup The Better Meat Co announced that it has raised USD 31m through a Series A investment round.

Source: Mergermarket

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Southern Glazer’s to acquire Anheuser-Busch’s NYC distribution operation.

• Southern Glazer’s Wine & Spirits (Southern Glazer’s), the world’s preeminent distributor of beverage alcohol, and Anheuser-Busch, leading American manufacturer and maker of Michelob ULTRA, Busch Light, Budweiser, Bud Light, and Cutwater Spirits, announced that they have reached an agreement for Southern Glazer’s to acquire Anheuser-Busch’s owned New York City distribution operation.

Source: Mergermarket

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The 2025 Dairy Top 100.

• Dairy Foods released its 2025 Top 100 rankings of the largest U.S. dairy companies and processors, compiled using 2024 (or most recent) revenues, company disclosures, public filings, industry reports, and inflation-adjusted estimates when direct data was unavailable.
• The list reflects both public and private companies, with estimates used where companies did not provide figures; sources included Forbes, Circana, annual reports, and other publications.
• Rankings highlight leading players and industry shifts across milk, cheese, butter, cultured dairy, frozen desserts, and dairy alternatives, continuing the annual benchmark for scale and competitive positioning in the U.S. dairy sector.

Source: Dairy Foods

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Food manufacturers looking at long-term AI strategies.

• Food and beverage companies are increasing investment in new product development (NPD) — 83% boosted spending in 2025 (up from 76% in 2024), with over half raising budgets by at least 11%. Drivers include inflation pressures, cost reduction goals, healthier product demand, and competitive intensity.
• Despite enthusiasm for AI and digital transformation, 82% of companies still rely heavily on manual processes (emails, spreadsheets, paper). Only 2% are fully digitized, though adoption of AI is rising: 17% are “all in” on AI (up 7 points YoY), while skepticism has declined.
• Key innovation priorities include better-for-you products (67%), sustainable packaging (41%), and supply chain traceability (48%). AI is being applied to regulatory compliance, formulation, consumer insights, idea generation, and R&D automation, but barriers remain from market conditions, labor and production costs, and ingredient availability.

Source: Meat + Poultry

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Flavor innovation crucial for food development.

• Innova Market Insights identified five key consumer-driven flavor trends: sensory therapy (comfort, relaxation, nostalgia), authentic regional cuisines (South Asian, Latin American, traditional cooking methods), imaginative adventures (spicy pairings, dirty sodas, bold combinations), healthier enjoyment (indulgent flavors in nutritious foods, low/no alcohol), and quality enrichment (focus on high-quality ingredients and value balance).
• Consumers increasingly value authenticity, adventurous taste, and indulgence paired with health benefits, with 39% seeking more global cuisines and 51% of U.S. shoppers saying comforting flavors most influence their food choices.
• Price remains central, but the combination of affordability and visible ingredient quality is shaping purchasing decisions, as flavor, taste, and texture continue to drive food development alongside nutrition and value.

Source: Meat + Poultry

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Circana research presents more of the same in 2026 for food and beverage sector.

• Circana projects weak volume growth of -1% to 1% in 2026, with dollar sales growth of 3% to 5%, driven more by pricing and mix than by consumption increases.
• Consumer behavior continues to emphasize value, convenience, and functionality, favoring mass, club, and value retailers; health-driven shifts include higher demand for high-protein diets, less alcohol consumption, and fewer snacks.
• Demographic pressures such as tighter budgets for low-income and Hispanic households, declining birth rates, and slower immigration are expected to further weigh on category performance, while rising cocoa and coffee prices have contributed to retail inflation.

Source: Meat + Poultry

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Trump administration to explore limits on advertising unhealthy foods to kids.

• A leaked draft of the Trump administration’s “Make Our Children Healthy Again Strategy” shows plans to explore limits on marketing unhealthy foods to children, with agencies like HHS and the FTC considering new guidelines on misleading claims and imagery.
• Food and beverage companies spend billions annually on children’s advertising, much of it for fast food, sugary drinks, candy, and snacks; WHO and at least 16 countries already restrict such marketing, while studies show online and influencer ads make it harder to identify paid promotions.
• The proposal is one of the few regulatory measures in the draft plan, which otherwise relies mostly on voluntary industry changes like reducing sodium, sugar, and artificial dyes, rather than mandatory restrictions.

Source: Food Dive

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Behind the croissant craze: Why baked goods shine even as snacking declines.

• Despite overall declines in snacking, bakery consumption remains strong, with croissants leading growth; sales are up 7% year-over-year and now rank as the third-largest perimeter bakery category after buns/rolls and bread.
• Consumers are drawn to fresh, minimally processed bakery options like croiffles and other croissant variations, reflecting both indulgence trends and interest in balance, portion control, and functional benefits.
• Perimeter grocery sales, including bakery, delis, and produce, have grown into a $22.3 billion industry, outpacing center-aisle packaged snacks, as shoppers seek variety, international flavors, and healthier grab-and-go formats.

Source: Food Dive

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McCormick reaches $750M deal to expand condiments business in Latin America.

• McCormick & Co. is spending $750 million to become the majority owner of a joint venture in Mexico as the spice and condiment giant expands its presence in Latin America.
• The company acquired an additional 25% stake from Grupo Herdez in McCormick de Mexico, a joint venture formed in 1947. The deal increases McCormick’s ownership stake to 75%.
• The transaction comes as McCormick sees strong demand for its mayonnaise in Mexico. The company is looking to capitalize on new growth opportunities for its condiments business both in the country and in the broader Latin American market.

Source: Food Dive

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Nestlé develops ‘groundbreaking’ process to boost cocoa production.

• Nestlé said it developed a process to maximize cocoa output as climate challenges reduce yields for farmers. 
• The food giant said its novel technique utilizes up to 30% more of the cocoa fruit to produce chocolate, cutting down on waste and generating more income for farmers. Instead of relying solely on cocoa beans, Nestlé is also using “underutilized” parts of the fruit, such as the pulp, placenta and pod husk.  
• The project, currently in a pilot stage, comes as cocoa prices have plunged to under $8,000 a ton after reaching a record high of more than $12,000 a ton in late 2024. Despite the decline, prices remain significantly elevated from historic levels.

Source: Food Dive

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JBS invests $100M to build its largest US bacon and sausage plant.

• JBS said it would spend $100 million to buy and transform an Iowa facility into its largest bacon and sausage plant in the U.S.
• The company acquired a 186,000-square-foot facility in Ankeny previously owned by grocery chain Hy-Vee. JBS will make capital investments to allow the establishment to produce sausage and bacon by mid-2026.
• Brazil-based JBS has invested in its U.S. manufacturing network this year to expand chicken and pork production. The world’s largest meat processor announced in May it planned to build a $135 million sausage plant in Perry, Iowa.

Source: Food Dive

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Conagra to invest in supply chain amid production revamp.

• Conagra Brands plans to increase investments to support supply chain resiliency as part of the roughly $450 million it earmarked for capital expenditures in fiscal year 2026, per a July 10 earnings call presentation.
• The food maker faced several supply challenges in FY25, which ended May 25, including stalled chicken production, a frozen vegetable shotage and tariffs on tinplate steel used to make canned food containers.
• “We expect these incremental investments to more than offset the favorable lapping impact of fiscal ’25 supply challenges,” CFO David Marberger said on a July 10 earnings call. Conagra did not respond to an email from Supply Chain Dive on how much of its planned capex would go toward its supply chain specifically.

Source: Food Dive

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Beyond Meat taking longer to pay its bills as plant-based sales plunge.

• Beyond Meat is taking longer to pay its bills as the beleaguered plant-based meat company struggles amid a prolonged drop in sales, according to information shared with Food Dive.
• Data from Creditsafe showed Beyond Meat’s days beyond terms (DBT), or how long a company takes to pay its bills after the due date, has more than doubled during the past twelve months. Delays increased from eight days in August 2024 to 19 days in July of this year. The industry average is 12 days.
• Media reports have indicated the company could soon run out of money. Beyond Meat denied the claim, with a spokesperson telling Food Dive that “we have not filed nor are we planning to file for bankruptcy.”

Source: Food Dive

JUST FOR FUN

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Leftovers: Skittles brings the heat with spicy gummies | Siete Foods gets into kids’ meals – Food Dive

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