Ahold buys US food distributor
subsidiary would acquire certain assets of US distributor Lady
Baltimore Foods for an undisclosed amount.
Dutch retailer Royal Ahold said on Thursday that its US Foodservice subsidiary would acquire certain assets of US distributor Lady Baltimore Foods for an undisclosed amount.
Ahold, the world's third biggest food retail and foodservice group by sales, said the purchase would help US Foodservice to improve its presence in the Kansas City and St. Louis markets.
The deal is expected to be completed in the third quarter, Ahold said.
Ahold said it would buy Lady Baltimore's net working capital and its goodwill, and US Foodservice will extend offers of employment to a number of the company's employees.
Lady Baltimore distributes over 14,000 food items and kitchen supplies to institutional customers including restaurants, schools and the healthcare sector in Kansas, Missouri, Nebraska, Arkansas, Oklahoma, Illinois and Iowa.
Ahold owns the Netherlands' biggest supermarket chain but generates about 60 per cent of its turnover in the United States.
