Sysco subsidiary acquires luxury hospitality goods provider Gilchrist & Soames
Logistics giant Sysco spent the better part of a year attempting a massive merger with fellow distribution titan U.S. Foods.
While that transaction didn’t pan out—the merger dissolved in the wake of the Federal Trade Commission moving to block the deal on antitrust grounds—Sysco has plenty of other paths to take on its journey of growth through acquisition. Most recently, Sysco has picked up luxury hospitality provider Gilchrist & Soames through its subsidiary Sysco Guest Supply.
RELATED CONTENT: Airbnb enters the business travel market
Sysco Guest Supply is a wholly-owned subsidiary of Sysco that specializes in distributing supplies to hotels and spas, and is touted as the only global provider in the hotel industry.
Meanwhile London-based Gilchrist & Soames is a leader in its own right, manufacturing high end hotel goods like soaps and toiletries for the hospitality market.
RELATED CONTENT: Top 10: US food and beverage manufacturers of 2015
According to Sysco Guest Supply, the addition of Gilchrist & Soames to its repertoire will increase the brand’s ability to adequately supply the coveted higher end boutique market:
"With Gilchrist & Soames' strong reputation in the high-end personal care amenities category and its solid customer base in the hospitality segment, this acquisition expands Guest Supply's luxury personal care offerings for hotels, resorts and spas," said President and Chief Operating Officer of Guest Supply, Paul Xenis.
"By leveraging both companies' skillsets and expertise," he continued, "we will bring a new level of service to our customers and further position our business for future growth."
Gilchrist & Soames, on the other hand, will now be a part of a global force with access to more than 25,000 boutique hotels and chains worldwide. In the joint press release, Gilchrist & Soames also spoke about the benefits that it will gain from joining forces:
"Joining Guest Supply will allow Gilchrist & Soames to leverage manufacturing facilities, supply chains, logistics, and product development and creative resources that will further benefit our customers and enhance our leadership position in the luxury hospitality segment," said President and Chief Executive Officer of Gilchrist & Soames, Kathie De Voe.
According to the press release, Gilchrist & Soames will continue its manufacturing and operations out the UK, and the financial details of the acquisition were not disclosed.
Click here to read the October 2015 edition of Business Review USA!