Core-Mark Inclined to Acquire Klein Candy Co.
Plans to achieve national distribution capacity
SOUTH SAN FRANCISCO, Calif. -- Core-Mark Holding Co. Inc. said that it is in exclusive negotiations to acquire substantially all of the assets of Klein Candy Co. LP, Wilkes-Barre, Pa.
Core-Mark plans to incorporate the Klein operations into its existing distribution network, creating a national distribution capacity.
This acquisition embodies our strategy to expand our distribution centers to enable us to serve customers throughout the contiguous 48 states, said Michael Walsh, CEO of Core-Mark.
The acquisition [image-nocss] is subject to a number of conditions, including completion of due diligence, definitive documentation, receipt of necessary third-party consents and final agreement on certain terms.
Core-Mark is one of the largest broad-line, full-service wholesale distributors of packaged consumer products to the convenience retail industry in North America. It provides distribution and logistics services as well as marketing programs to more than 19,000 retail locations in 38 states and five Canadian provinces through 24 distribution centers, two of which Core-Mark operate as third-party logistics providers. It services traditional convenience retailers, grocers, drug, liquor and specialty stores and other stores that carry consumer packaged goods.
Klein Candy Co., trading as Klein Wholesale Distributors, is a full-service master and convenience store distributor of cigarettes, tobacco, groceries (including frozen and refrigerated), HBC, candy, foodservice, beverages, paper products and general merchandise. It currently stamps cigarettes and delivers products to nine states, including Pennsylvania, Michigan, New York, New Jersey, Connecticut, Maryland, Delaware, Washington D.C., and Virginia.