Performance Food Group to Acquire Reinhart Foodservice
Richmond, Virginia-based Performance Food Group (PFG) has entered into a definitive agreement to acquire Reinhart Foodservice from Reyes Holdings in a transaction valued at $2.0 billion, or approximately $1.7 billion net of an estimated tax benefit to PFG of about $265 million.
With annual net sales of over $6 billion, Rosemont, Illinois-headquartered Reinhart is the second largest privately held foodservice distributor in the United States, offering some 90,000 stock keeping units to 42,500 customers. Its client base includes independent restaurants, healthcare, education and other segments.
“We believe the addition of Reinhart and its complementary strengths will expand Performance Foodservice’s broadline presence, improve our network efficiency and help us achieve our long-term growth goals,” said PFG Chairman, President and CEO George Holm. “This transaction provides us with greater overall scale, a diverse customer base, including a solid base of independent customers, and builds upon our strong distribution platform.”
PFG ranks as one of the largest food distributors in the United States, generating approximately $30 billion in net sales per annum. Operating one of the nation’s largest truck fleets, it delivers more than 150,000 food products to over 150,000 customer locations.
The company expects full-year fiscal 2019 Adjusted EBITDA growth of 9% to 10%, fueled by solid net sales momentum in the fourth quarter of fiscal 2019 versus the prior-year period.