Benzinga | Dec 6, 2021 09:03AM EST

Sysco To Acquire Fresh Produce Distributor Coastal Companies For Undisclosed Sum

* Sysco Corp (NYSE:SYY) has agreed to acquire The Coastal Companies, a fresh produce distributor and value-added processer, from Continental Grain Company for an undisclosed sum.

* Upon completing the transaction, Coastal Companies will operate as part of FreshPoint, Sysco's specialty produces business.

* Sysco expects the deal to create a strong FreshPoint presence in the Mid-Atlantic region, provide significant value-added manufacturing capabilities, and further diversify its produce specialty business.

* Coastal Companies generates annual revenue of $600 million and comprises three integrated businesses.

* Sysco held $2.1 billion in cash and equivalents as of October 2, 2021.

* Price Action: SYY shares traded lower by 0.49% at $69.64 in premarket on the last check Monday.