RICHMOND, Va., and NAPERVILLE, Ill. — Performance Food Group Co. (PFG) has signed a definitive agreement to acquire Eby-Brown Co. LLC, a leading U.S. distributor of prepackaged candy, snacks, specialty beverages and tobacco products in the convenience-store industry.
This acquisition will allow PFG’s Vistar segment to strategically expand in the c-store channel where there is significant overlap with suppliers and product categories, as well as opportunities to use PFG brands for unique solutions in the prepared/made-to-order foodservice market. Vistar is a national wholesale distributor in industries such as vending and office coffee service, retail, theater and concessions, hospitality, campus retail, office supply and corrections.
Vistar and Eby-Brown combined will service more than 75,000 locations.
“We are excited about Eby-Brown joining the PFG family of companies and adding their customer-centric approach to ours,” said PFG Chairman, President and CEO George Holm. “Their impressive levels of order fulfillment, on-time delivery and ability to adapt to customer needs have helped build their reputation as a premier provider of convenience industry solutions for independent operators and larger retail chains. This acquisition will provide a new, complementary growth opportunity for PFG with incremental revenue synergies in our foodservice platform.”
Eby-Brown is a privately held company founded more than 125 years ago. With Headquarters in Naperville, Ill., the company is led by Dick and Tom Wake. It is the third-largest wholesale consumer products distributor in the convenience industry, operating eight distribution facilities in Georgia, Kentucky, Illinois, Indiana, Michigan, Ohio, Pennsylvania and Wisconsin that serves 20 states. Eby-Brown had fiscal 2018 revenues of $5.3 billion, which included $1 billion of tobacco excise taxes.
“George and his management team understand and share our values and belief in forming lasting relationships with customers and business partners,” said Tom Wake, co-president of Eby-Brown.
“We believe this acquisition will better position us to serve existing and new customers, and we’re excited about the innovative possibilities that we will be able to provide to our customers as a part of PFG,” said Co-President Dick Wake.
Subject to regulatory approval, the companies expect the transaction to close in the second quarter of 2019.
Performance Food Group, a foodservice distribution company based in Richmond, Va., has a nationwide network of approximately 75 distribution centers and more than 5,000 suppliers. It markets and delivers food and related products to more 150,000 locations including independent and chain restaurants, schools, business and industry locations, healthcare facilities, vending distributors, office coffee service distributors, big box retailers and theaters. Divisions include Performance Foodservice, PFG Customized and Vistar.
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