The World's Most Expensive Brand Acquisitions

BANGALORE: Growth through acquisition is a new way for large companies to achieve rapid expansion. Instead of opening a new brand, companies are following merger and acquisition strategy. This strategy seems to be a faster, cheaper and generally more efficient shortcut to growth for companies of any size.

The principal benefits from mergers and acquisitions can be listed as increased value generation, cost efficiency and market share. First, let’s take a look on some most valuable brand acquisition till date. 

Foods


Kraft, a food manufacturing and processing company headquartered in Northfield has made some serious acquisitions over the years. The most recent being the merger with Heinz in early July of 2015, where it became entitled to the global brand name Kraft Heinz. This makes Kraft Foods the most valued brand at 41.3 billion dollars to have been acquired since 2000. Before this Kraft-Heinz deal, Anheuser-Busch acquisition by InBev was considered as the most valuable brand possession.

Heinz was previously acquired by Berkshire Hathaway. The deal with Kraft now makes it a majority owner of Heinz. After exercising a warrant to acquire 46,195,652 shares of common stock for a total price of $461,956.52, Berkshire increased its stake to 52.5 percent.

Another major purchase made by Kraft Foods include the food processing company Nabisco -with a brand value of 11.7 billon dollars and after renaming in 2012, it became Mondel?z International. Cadbury, the second largest confectionery brand in the world after Wrigley's was also acquired by Kraft Foods in 2010 with a brand value of 10.3 billion dollars.

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