Golden State Foods (GSF), one of the largest diversified food processors and distributors in the foodservice industry, announced that it has entered into negotiations with Martin Brower Company (Rosemont, Illinois), to sell some of its distribution centers this year.
Discussions are focused on nine of GSF’s 27 distribution centers. The nine under discussion are part of 11 distribution centers serving McDonald’s. (GSF’s 27 centers serve an array of QSR leaders). The sale would support Golden State Foods’ and McDonald’s strategies for growth, efficiencies and excellent customer service, which have been hallmarks of both organizations for decades. GSF, which has been a food supplier to McDonald’s for more than 65 years and a distribution partner for more than 50, will continue to serve as a global manufacturer and distributor to McDonald’s and to many other food industry and retail customers throughout the world.
The transaction would put GSF in a very strong financial position to accelerate its already successful strategy through reinvestment and continued potential acquisitions.
The companies anticipate the sale will be finalized before the end of the year.
Golden State Foods CEO Mark Wetterau issued the following statement:
“Golden State Foods has a proud, 71-year heritage rooted in our vision and values, and we’ve established a strong company culture that has delivered strong financial success. Today is a pivot point in our company’s direction, and it marks a significant opportunity for Golden State Foods to accelerate its growth and diversification strategy, which we began 20 years ago.
“More than 65 years ago, Golden State Foods began supplying hamburger patties to McDonald’s, starting with a relationship with the McDonald’s brothers, and later a handshake deal with Ray Kroc. GSF has since grown and diversified, particularly rapidly in the past two decades, with the addition of an array of food industry leaders spanning the foodservice, QSR, retail and C-store formats.
“Today, we are announcing that Golden State Foods has entered into negotiations with Martin Brower Company to sell some of our distribution centers – only those serving McDonald’s – and we will reinvest in our other operations as part of our diversification strategy.
“Golden State Foods’ growth has already begun. Some examples include:
- We’ve recently opened a new Protein Products facility in Opelika, Alabama, to accommodate additional growth in fresh and frozen protein (meat) production for our QSR and retail customers.
- We also recently broke ground on a new Liquid Products facility in Burleson, Texas, to enable GSF to expand the production of sauces, syrups, condiments and other liquid products, to meet growing customer demands.
- Our GSF subsidiary, QCD, expanded its national footprint by opening five new centers in the U.S., in support of multiple QSR formats, and took on new customers last year.
- We also just opened a new distribution center in Salt Lake City, Utah and expanded our distribution center in Miami, Florida, while taking on new business in a number of markets in the Southwest.
- We continue to invest in China through KanPak China, to support the rapid growth of our aseptic dairy business.
- Through GSF Fresh!, we recently completed an expansion of our Auckland, New Zealand facility to accommodate our growing produce business throughout the country.
- We’re also expanding our liquid products plant in Cairo, Egypt, to support our growth throughout the Middle East.
- Additionally, we continue to invest in Blockchain technology to track fresh products, demonstrating our leadership in traceability and digital innovation for the global supply chain.
“We’re excited about the future and the many opportunities before us at Golden State Foods to continue to grow our legacy of more than seven decades and best serve our thousands of valued customers around the world.”
Source: Golden State Foods