US food distributor Nash Finch has agreed with Roundy’s, Inc. to acquire the net assets, including customer contracts, of its wholesale food distribution divisions in Westville, Indiana, and Lima, Ohio, and two retail stores in Ironton and Van Wert, Ohio, for approximately $225m.
The Westville and Lima Divisions to be acquired represent approximately $1.0bn in annual food distribution sales, servicing over five hundred customers, principally in Indiana, Illinois, Ohio and Michigan, the company said.
Ron Marshall, Chief Executive Officer of Nash Finch, commented on the acquisition, “We have long admired the outstanding customers and dedicated associates of these divisions and are excited for them to join our organization,” said Ron Marshall, CEO of Nash Finch. “Customers of both Nash Finch and these Divisions will benefit from our ability to buy product much more efficiently as a combined organization, improving their ability to win in an increasingly competitive market. Most importantly, however, this acquisition continues to underscore our strategic commitment to the independent grocery retailing community.”
The distribution centres to be acquired fit well with the company’s existing network and no facility closures are anticipated, Nash Finch said.