Sysco Acquisition of US Foods Delayed by Feds
Sysco Corp said its acquisition of rival food distributor US Foods, based in Rosemont, Illinois, isn’t likely to be completed until early next year as federal officials continue to scrutinize the deal for potential anticompetitive implications.
Sysco, based in Houston, offered to buy US Foods for $8.2 billion in December 2013, and company officials said in August that they expected the transaction to close by the end of the calendar year.
Both companies operate large private fleets to distribute food and beverages, kitchen equipment and cleaning supplies to restaurants, hotels, schools and health-care institutions in the United States and Canada.
Sysco ranks No. 2 on Transport Topics’ Top 100 Private Carriers list, and US Foods ranks No. 5.
Sysco faces a termination payment of $300 million if the deal is not consummated.
