Sodexo says the acquisition of the Texan vending and foodservice business will broaden its multi-channel capabilities, including delivery, convenience store concepts and coffee service
Sodexo says the acquisition of Frontline Food Services will broaden its multi-channel reach in the US | Photo credit: via Shutterstock
Sodexo has further strengthened its presence in the North American foodservice market after agreeing to acquire Texas-based vending and catering firm, Frontline Food Services.
The acquisition builds on Sodexo’s 2021 acquisitions of food-tech start-up Foodee, commissary kitchen model Nourish.Inc, alongside the continued expansion of workplace caterer The Good Eating Company in the US.
France-based Sodexo said the Frontline acquisition would broaden its multi-channel offerings, including click & collect, takeaway, delivery, convenience store concepts, micro markets, self-service pantries, office refreshments and smart vending, while enabling it to expand into the Mid-Atlantic, Texas, Arizona and Nevada markets.
“With the acquisition of Frontline, we can better adjust our offerings quickly – for instance, converting from vending to coffee service to micro markets seamlessly as the needs of our clients and their customers change with the times. Sodexo’s ability to be agile is paramount; this acquisition further enables us to deliver on that need.” said Sodexo’s North America Region Chair, Sarosh Mistry.
Founded as a family-owned vending business in central Texas, Frontline has grown to become one of the largest independent convenience services operators in the US with an operating footprint in the Mid-Atlantic, Southwest and West Coast. The company provides refreshment solutions including vending, office coffee and catering, offering prominent coffee brands including Starbucks, Keurig, Texas Coffee Traders and Cuvée Coffee.
Commenting on the acquisition agreement, Ken Sullivan, President & CEO of Frontline Food Services, said: “Frontline has been servicing Sodexo accounts for more than a decade and through those years a strong partnership has been built. Today we are proud to join the Sodexo family, a group with the ambitious vision to reinvent food services throughout North America. Sodexo’s and Frontline’s shared passion for creating excellent consumer experiences through great food, great service and great technology make this acquisition a real win for the employees and customers of our organisation”.
Posting its
first quarter results in January 2022, Sodexo said its North American business had accelerated ‘significantly’, but cautioned the return to workplaces in the US and Canada lagged behind other markets worldwide, with the region performing at 85% of pre-Covid level activity.