A US bankruptcy court has given the go-ahead to US grocery distributor and retailer Fleming to sell its wholesale grocery business to C&S Wholesale Grocers.
The deal, worth US$330m, is expected to close on 23 August. A further $70m in royalties is to be added to the price over time, a percentage of sales to former Fleming customers by C&S Wholesale and four other companies that are to buy parts of the business from C&S Wholesale.
Fleming, which filed for bankruptcy in April, still has its Core-Mark convenience store distribution business. The company has said it is still deciding whether to reorganise around Core-Mark or to sell off that operation too, reported Dow Jones Commodities Service.