On heels of AWI purchase, C&S acquires Grocers Supply
On heels of AWI purchase, C&S acquires Grocers Supply
C&S Wholesale Grocers Inc. has agreed to acquire the wholesale distribution and supply business of the Grocers Supply Co. Inc. This news comes less than a week after its bid to purchase Associated Wholesalers Inc. was approved.
The new acquisition will include Grocers Supply’s warehouse and distribution operations in the Houston, Dallas and Rio Grande Valley areas along with its approximately 1,800 employees, but will not include any of Grocers Supply’s retail operations. The transaction is expected to close before the end of the year.
“The Grocers Supply Company has a century-long legacy of providing the highest level of service to its valued customers, which are primarily independent retailers and regional chains,” Rick Cohen, C&S Chairman and chief executive officer, said in a press release. “We very much look forward to partnering with the Grocers Supply team to continue this tradition and to expand the services and offerings available to its customers through the strength and scale of C&S. C&S is excited to enter the Southwestern United States market and to have the opportunity to service this growing and vital region.”
Grocers Supply distributes all major product lines, including produce, and is also known as one of the leading distributors of Hispanic grocery products in the country, focusing on Texas-made and Texas-grown products.
Grocers Supply’s largest customer is the Fiesta Mart chain of stores, which includes 60 retail locations and is one of the larger grocers in the country serving the Hispanic market.
“C&S is strongly committed to maintaining the service and product assortment that Grocers Supply’s loyal customers have come to expect,” Cohen said in the release. “This is an exciting opportunity for both companies, as well our customers and employees, as we combine the best aspects of Grocers Supply and C&S to produce a truly differentiated offering to the independent grocer.”
“As the Levit family planned for the next 100 years, with the goal of sustaining the Grocers Supply wholesale business, we determined that selling the wholesale business would be in the best interest of its stakeholders," Max Levit, president of Grocers Supply, said in the release. "We carefully selected C&S Wholesale Grocers as the best choice for our employees and customers because of C&S’s commitment to growth, operational excellence and service to independent grocers. We appreciate our loyal employees’ numerous accomplishments and look forward to seeing their future successes.”
