Sysco buys Restaurant Depot

Under the deal’s structure, Jetro Restaurant Depot shareholders will receive $21.6 billion in cash plus 91.5 million Sysco shares. (investors.sysco.com) Jetro operates 166 large-format warehouse stores across 35 states and serves more than 725,000 independent restaurants and foodservice operators. (investors.sysco.com) For calendar year 2025, Jetro generated about $16 billion in revenue, roughly $2.1 billion in EBITDA and approximately $1.9 billion in free cash flow. (investors.sysco.com) Sysco plans to fund the cash portion with about $21 billion of new debt and hybrid debt plus $1 billion of cash or equity, and Jetro shareholders are expected to hold roughly a mid‑teens stake in the combined company. (investors.sysco.com) (restaurantbusinessonline.com) (investors.sysco.com) The boards of both companies have unanimously approved the transaction, which the companies say is expected to close by the third quarter of Sysco’s fiscal 2027, subject to customary closing conditions and regulatory approvals. (investors.sysco.com) (markets.businessinsider.com) (investors.sysco.com) Sysco forecasts mid‑to‑high‑single‑digit EPS accretion post‑close, identifies roughly $250 million of run‑rate synergies, and points to a $60–70 billion addressable cash‑and‑carry market while outlining plans to add more than 125 new store locations over time. (finance.yahoo.com) (investors.sysco.com) (distributionstrategy.com) (finance.yahoo.com) Founder Nathan “Natie” Kirsh, who built Jetro from a single Brooklyn warehouse in 1976 and holds majority ownership, is the principal seller in the transaction. (bloomberg.com) (en.wikipedia.org) (bloomberg.com) Sysco’s stock moved sharply on the announcement, and investors noted regulatory risk given Sysco’s 2015 attempt to buy U.S. Foods was halted after an FTC challenge and a federal judge’s injunction. (bloomberg.com) (ftc.gov) (bloomberg.com)