Brakes Group, is the UK market leader in the foodservice sector and supplies food to more than 50,000 customers including restaurants, hospitals and schools.
Bill DeLaney, chief executive officer at Sysco, said: “We look forward to welcoming Brakes Group, its 15,000 employees, and Ken McMeikan and his highly respected leadership team to the Sysco family of companies. This transaction will unite Sysco with a leading foodservice distributor in Europe with demonstrated capability to sustainably grow its business over time.
“Beginning with a common customer-centric mindset, our companies are strategically aligned with compatible cultures and similar business models. We expect to retain key members of Brakes Group’s talented leadership team and to experience little distraction from integration given the minimal overlap of the businesses. Sysco’s management team remains confident in and committed to achieving our previously announced three-year plan financial objectives.”
Brakes Group has been owned by Bains Private Equity since 2007 and the deal with Sysco is expected to compete before the end of Sysco’s fiscal year in July 2016.
Headquartered in London, Brakes Group will operate as a standalone company within Sysco. The Brakes Group business will continue to be led by chief executive officer Ken McMeikan. His management team and the rest of the employee base will remain in place.
Ken McMeikan, Brakes Group chief executive, said: “It’s very exciting for Brakes Group to be joining the recognized worldwide leader in foodservice distribution. Last year we said we would look for the best strategic option for Brakes Group’s next stage of development. We are delighted to have now concluded this process by joining Sysco.
“Our mission is simple: to help businesses who serve food to thrive, and becoming part of the Sysco family will help us get closer toward achieving that great outcome for our customers, colleagues and suppliers. Similar to Sysco’s approach, Brakes Group serves thousands of customers across Europe every day, including pubs, restaurants, hotels, hospitals, schools, contract caterers and more. We have continued to flourish in recent years, and the significant investment that has been made in Brakes Group provides us with a very solid platform for further growth as part of Sysco.”
McMeikan will address the Arena Savoy Lecture in April in one of his first major speeches since the developments within Brakes Group.