Small and medium-sized businesses in Greece's food and catering sector are developing into more institutionalised businesses with an international outlook.

Major private equity and venture capital funds, alongside listed investment holding companies, are deploying significant capital across the food value chain — from frozen dough products, cheese and ready-made salads to premium ice cream and fast-growing street food brands. In practice, this means that long-established businesses are moving away from traditional family-run management models and adopting the rigorous structures, transparency and professional management practices of large multinational groups.

Investor interest is closely linked to the structure of the Greek market. The vast majority of healthy, profitable food businesses in the country are small and medium-sized, family-owned companies. Despite their stable sales and the sector’s defensive characteristics — with predictable cash flows even during periods of inflationary pressure — these businesses often find themselves at a critical crossroads. They either face the challenge of passing the business on to the next generation or lack the scale, capital and organisational structure needed to expand abroad.

Domestic investment funds are stepping in to fill this gap, with the flexibility to consider smaller transactions than those typically sought by major international groups. By providing the necessary capital, funds finance production automation, generate economies of scale through strategic mergers and open doors to international retail networks, capitalising on the global appeal of the Mediterranean diet.

Deals

Following a wave of initial investments over the past five years, many investment funds are nearing the end of their investment cycles and moving towards exits, while new heavyweight players are entering the arena, creating a particularly interesting pattern of successive deals.

The latest move came from Halcyon Equity Partners, which acquired a stake in Rodoula S.A. The strategic investment adds to a string of acquisitions by the same fund, including Ergon Foods, Kayak S.A. and fresh pasta chain Mailo’s in June this year.

Meanwhile, the newly established Golden Age Capital fund, which has raised €250 million under the leadership of Periklis Mazarakis, has alreasy started investments. It has added grill restaurant chain O Proedros to its portfolio, with plans for international expansion into the Middle East.

At the same time, EOS Capital Partners completed its acquisition of a majority stake in dairy producer Farma Koukaki in early 2026. Through EOS Hellenic Renaissance Fund II, it also acquired the minority stake in Megas Yeeros previously held by Elikonos Capital since 2021.

Elikonos, in turn, invested in Cretan bakery producer To Manna N. Tsatsaronakis in July 2026 and agrifood company A. Vezyroglou S.A. in October.

Meanwhile, a major wave of divestments is underway among other established investment groups. DECA Investments is preparing exits from Minerva and Hellenic Brewery of Atalanti, having already placed its Diorama II fund in import company Leader, while VNK Capital is in the process of exiting Palirria Souliotis.

Even the start-up ecosystem is attracting millions in investment. Greek start-up Plan(e)t Foods, which produces plant-based ice cream, has drawn capital from platforms such as SPOROS Platform, demonstrating that food production innovation is attracting funding at every stage of development.

Ideal Holdings follows a different model. As an investment holding company listed on the Athens Stock Exchange, it pursues an aggressive acquisition strategy while investing with permanent capital. This means it is not bound by the relatively short five-year investment horizon that puts traditional funds under pressure to exit, giving it greater flexibility.

The company demonstrated this approach by acquiring Barba Stathis at a time when international giant CVC Capital Partners was undertaking a major restructuring of its Vivartia portfolio.

As part of this process, CVC also sold dairy producer Dodoni to Hellenic Dairies. It recently announced an agreement to sell Evergood to Canadian company Recipe Unlimited Corporation, which is controlled by Prem Watsa’s Fairfax Financial Holdings.

These strategic moves are seen as paving the way for the group’s next major exits, involving Elliniki Zymi and DELTA.

Elaïs-Unilever Hellas is also entering the frame for potential future developments. As part of a global separation strategy, the multinational giant has agreed to sell its entire food business to US-based McCormick, with the transaction expected to be completed in 2027.

The global M&A playbook

This domestic activity reflects a broader global trend, with the food industry emerging as one of the most attractive sectors for private equity worldwide.

According to Bain & Company, global M&A deal value is staging an impressive recovery, supported by the substantial pools of capital held by investment funds. FoodNavigator highlights the sector’s defensive qualities and stability: demand for food remains fundamental, helping investors diversify their risk.

International analysts point to three key drivers behind the investment interest. The first is the buy-and-build strategy in fragmented markets, aimed at creating larger, stronger groups. The second is the shift towards health-conscious consumption, which is driving growth in clean-label products. The third is corporate carve-outs, whereby funds acquire non-core brands or businesses from multinational giants — as illustrated by the developments at Elaïs-Unilever — and restructure their cost bases.