Foodservice company Sysco and Jetro Restaurant Depot have entered into a definitive agreement under which Sysco will acquire Jetro Restaurant Depot in a $29.1 billion transaction that allows Sysco to enter the cash and carry channel.

Jetro Restaurant Depot is a US wholesale cash and carry foodservice provider serving smaller, independent restaurants and businesses. Jetro Restaurant Depot’s customer group is complementary to Sysco’s higher-volume customers seeking delivery and white glove service. A purpose-built one-stop-shop model for chefs and restaurant owners, Jetro Restaurant Depot operates 166 large-format warehouse stores across 35 states that serve more than 725,000 independent restaurants and foodservice operators with a broad assortment of fresh products. For calendar year 2025, Jetro Restaurant Depot generated approximately $16 billion in revenue, approximately $2.1 billion in EBITDA, and approximately $1.9 billion in free cash flow, and has maintained a 30-year track record of EBITDA growth.

The cash and carry channel is a $60-70 billion addressable market and is the primary source of supply for many smaller independent restaurants and foodservice operators, providing them everyday low prices seven days a week, with on-demand access to a full selection of fresh, ambient and frozen foodservice products, and a convenient in-store shopping experience. Cash and carry is a growing channel that benefits across economic cycles.

“We’re thrilled to combine two industry leaders to create a preeminent multi-channel foodservice distribution platform,” said Kevin Hourican, chair of the board and chief executive officer of Sysco. “Together, Sysco and Jetro Restaurant Depot will enhance value for small independent restaurants and the consumers they serve by expanding access to more affordable, fresh food products and delivering more choice and convenience.

"Jetro Restaurant Depot will benefit from access to Sysco’s best-in-class foodservice supply chain and logistics capabilities and Sysco will benefit from new ways to serve local customers. The combined company will have increased purchasing efficiencies, enabling lower prices for more customers. Even more importantly, we see a long runway of opening new Jetro Restaurant Depot warehouses, bringing the industry leader in affordability to hundreds of new communities and creating thousands of new jobs. This will allow us to create significant value for our company, our customers, and our shareholders.”

"Today’s announcement is an exciting moment for Jetro Restaurant Depot and a clear recognition of the strength of our business model, and the teams who have built it over the past 50 years," said Stanley Fleishman, executive chairman of Jetro Restaurant Depot. "From the start, our focus has been simple and straightforward, in line with the vision of our founder, Nathan Kirsh: to support independent shopkeepers, restaurant owners, and people running independent food businesses who depend on one-stop food service shopping at low prices seven, days a week.

"Sysco is the best possible partner for our next chapter because they share our growth mindset and bring the systems and national and international supply logistic capabilities to help us grow across the US and beyond."

The combined company generated 2025 annual net revenues of nearly $100 billion, approximately $6.4 billion of adjusted EBITDA, and $5.5 billion of free cash flow, increasing Sysco’s revenue by approximately 20%, EBITDA by approximately 45%, and free cash flow by approximately 55%.

Leveraging Sysco’s expansive supply chain footprint across the US, Sysco has high confidence in the opportunity to open more than 125 new Jetro Restaurant Depot locations in key markets across the country over at least the next two decades. These new stores will provide customers more affordable food options while creating a stable source of retail jobs in these communities.

Through targeted collaboration that is minimally disruptive to the core Jetro Restaurant Depot and Sysco businesses, the combination is expected to realize approximately $250 million in annualized net cost synergies within the first three years following closing and represent approximately 12.5% of Jetro Restaurant Depot’s operating income. The companies say these synergies will be realized primarily via savings on product procurement and inbound supply chain optimization. Over the medium-term, the combined company sees opportunity to win additional customers in both businesses through access to an expanded assortment and improved sales and service.

The companies say Jetro Restaurant Depot customers will benefit from Sysco’s foodservice supply chain and logistics capabilities, while Sysco customers will benefit from the same-day shopping offered by Jetro Restaurant Depot’s brick and mortar locations. Together, customers will have access to more fulfillment options to choose from.

“It has been a privilege to partner with Jetro Restaurant Depot for more than two decades on a remarkable journey of growth. This transformative transaction represents a compelling opportunity that we believe will unlock meaningful long‑term value for the combined company. As Sysco shareholders, we have full confidence in the combined company’s future and look forward to participating in this next chapter,” said Jonathan Sokoloff, managing partner of Leonard Green & Partners, L.P.

Upon closing of the transaction, Jetro Restaurant Depot will operate as a standalone business segment within Sysco, maintaining its operating model. Jetro Restaurant Depot’s leadership team is expected to remain in place under Richard Kirschner, who will report to Hourican. Jetro Restaurant Depot will maintain its headquarters in Whitestone, N.Y. In addition, two of Jetro Restaurant Depot’s current directors, Sir Bradley Fried and Stanley Fleishman, will join the Sysco Board of Directors as the companies move forward together. The companies do not anticipate workforce reductions as a result of the transaction.

The transaction has also been unanimously approved by the Board of Directors of Sysco and the Board of Directors of Jetro Restaurant Depot. The transaction is expected to close by the third quarter of Sysco’s fiscal 2027, subject to the satisfaction of customary closing conditions, including receipt of regulatory approvals.

Goldman Sachs & Co. LLC and TD Securities are serving as financial advisors to Sysco, with Paul, Weiss, Rifkind, Wharton & Garrison LLP serving as legal counsel and Jones Day serving as regulatory counsel. Edelman Smithfield is serving as strategic communications advisor to Sysco. Evercore is serving as exclusive financial advisor to Jetro Restaurant Depot, with Wachtell, Lipton, Rosen & Katz serving as lead legal counsel and Macfarlanes LLP providing U.K. legal counsel. J.P. Morgan Securities LLC acted as financial advisor to the major shareholders of Jetro Restaurant Depot, including Leonard Green & Partners, L.P.Latham & Watkins LLP is serving as legal counsel to Leonard Green & Partners, L.P.Foxcroft Strategy Group LLC is serving as strategic communications advisor to Jetro Restaurant Depot.

Source: Sysco