By Kristin Jones
Sysco Corp. (SYY) has agreed to acquire Crossgar Foodservice as
the food supplier seeks to expand its footprint on the Emerald
Isle.
The terms of the deal, which is subject to Irish regulatory
approval, weren't disclosed.
Privately-held Crossgar Foodservice supplies poultry, meat and
other products throughout Ireland and the U.K. It operates four
facilities in Northern Ireland, where it is based, and employs
around 238 people.
Sysco supplies food to restaurants and other institutions. The
acquisition marks the company's second foray onto the island. Sysco
acquired Irish company Pallas Foods, based in County Limerick, in
2009.
Crossgar, like Pallas, will continue to retain its existing
brand identity and management team.
"Crossgar Foodservice is a strong company with excellent
customer relationships," said Sysco's group president Mike Green.
"This investment, along with the acquisition of Pallas Foods in
2009, represents our commitment to the Ireland market and provides
us additional strategic opportunities."
Sysco reported last month that its first-quarter earnings were
roughly flat, as higher food costs ate up profits even as sales
grew.
Shares were up 5 cents to $28.69 in recent trading. The stock is
down 2.2% so far this year.
Write to Kristin Jones at kristin.jones@dowjones.com