Whether you’re a professional working in the food manufacturing industry or not, chances are you’ve heard of Sysco. With an annual revenue over $37 billion (2010), they are widely known as being the largest food distributing company in the world. Earlier this month, Sysco made an press announcement saying they’ve finalized the acquisition of four smaller companies previously purchased back in the fourth quarter of 2012; therefore, increasing their portfolio to an even greater extend.
Background on Sysco
Originally founded in 1969 by entrepreneurs Herbert Irving and John F. Baugh, Sysco is a large-scale food distributing company that transports food products to restaurants, grocery stores, hospitals, convention centers and other similar complexes. While they have branches in many different countries throughout the world, their headquarters remain in Houston, Texas where the company was founded.
One of the elements that has helped Sysco become such a well-rounded and successful business is their focus on customer service. Ever since the company was originally founded, they’ve placed a great deal of importance on building long-lasting customer relationships. As a result, Sysco has maintained business deals and contracts for several decades. According to public documents, Sysco has roughly 400,000 customers and clients whom they offer their food transportation services to.
About The Acquisitions
As previously stated, Sysco purchased four smaller food-related companies towards the end of last year. Like many powerhouse companies, acquisitions are a common practice used to strengthen their footing and broaden their horizon. So, what companies did Sysco come away with this time? According to their press release, Sysco purchased the following companies back in 2012:
- Appert’s Foodservice – Minnesota-based food company specializing in frozen foods.
- Distagro – Canadian grocery food supplier and merchant.
- Central Seafood Company – Florida-based company specializing in fish, shrimp, lobster, clams and other types of seafood.
- Butchy Food Service – Ohio-based food distributor working closely with regional grocery stores and supermarket chains.
Although the financial details regarding Sysco’s acquisition of the four companies listed above remains undisclosed, their combined annual revenue exceeds $500 million. This is a respectable asset even for a company as large as Sysco. It’s unclean what direction they will take with their new acquisitions, but it’s doubtful they will make any large changes, such as laying off workers, closing down facilities, etc.
Keep your eyes and ears peeled for any new details regarding Sysco’s acquisitions. If the past holds true, you will probably see several new companies picked up by this worldwide food distributor.