Sysco Finalizes Acquisition of The Coastal Companies

Sysco Finalizes Acquisition of The Coastal Companies

HOUSTON, TX - As part of a continuous, long-term strategy, Sysco Corporation has made key efforts to bolster its specialty produce business with several tactical acquisitions. In December 2021, the distributor revealed plans to acquire The Coastal Companies, a leading fresh produce distributor and value-added processor. This acquisition was recently finalized, bringing critical new benefits to Sysco’s operations.

Laurel, Maryland-based The Coastal Companies was founded in 1992 and generates annual revenue of approximately $600 million. The company is comprised of three integrated businesses, which include:

  • Foodservice Distribution – Coastal Sunbelt Produce
  • Retail DistributionLancaster Foods
  • Value-Added ManufacturingEast Coast Fresh

Continuing to expand its fresh produce portfolio, Sysco has finalized its acquisition of The Coastal Companies

According to a press release, this acquisition will operate as part of FreshPoint, allowing the business to enhance its service in the Mid-Atlantic region as well as diversify its portfolio with added retail and ready-to-eat capabilities and state-of-the-art facilities with capacity for growth.

Sysco acquired the company from Continental Grain Company and Rabo Investments (Rabobank) through Arlon Food and Agriculture Partners, LP, itss co-sponsored private equity fund. The terms of the agreement were not disclosed.

As this long-term strategy brings new opportunities for the distributor, keep reading ANUK for the latest updates.

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