Sysco snaps up US Foods

City A.M. Reporter
SYSCO said yesterday it will buy US Foods for about $3.5bn from its private equity owners in a deal that will combine the top two US food distributors and create a company commanding about a quarter of the $235bn North American market.

Shareholders of US Foods, owned by affiliates of private equity firms Clayton, Dubilier & Rice and KKR, will own about 13 per cent of Sysco after the closing of the deal, which creates a company with revenue of $65bn.