Ahold on Wednesday, May 2, announced that it has reached a definitive agreement on the sale of U.S. Foodservice to a private-equity consortium of Clayton, Dubilier & Rice Fund VII and Kohlberg Kravis Roberts & Co. for $7.1 billion.
U.S. Foodservice is the second-largest foodservice distributor in the United States, with 2006 net sales of $19.2 billion. The full-service distributor transports food and related products across the United States to more than 250,000 customers, including restaurants, hospitals, hotels, schools, the government and other establishments.
Closing of the transaction is expected in the second half of 2007, subject to the fulfillment of customary conditions, including antitrust clearance and approval by Ahold’s shareholders. Both the supervisory board and corporate executive board of Amsterdam, Netherlands-based Ahold are recommending that shareholders approve the sale. Shareholder approval will be sought at a June 19 general meeting.
“I am extremely pleased to be able to announce that we have reached this important milestone for U.S. Foodservice, for Ahold and for our shareholders,” says Anders Moberg, Ahold president and chief executive officer. “We have focused on restructuring U.S. Foodservice, strenghthening its capabilities and restoring profitability. The agreement we have been able to reach with CD&R and KKR is the result of the hard work and dedication of everyone at U.S. Foodservice.”