Last updated on June 20th, 2023
Naperville, Illinois-based KeHE Distributors has completed the acquisition of DPI Specialty Foods, a distributor across the western U.S., from food and beverage focused private equity firm Arbor Investments.
KeHE and DPI will continue to operate as separate entities while the organizations work to implement an integration plan.
“Combining KeHE and DPI’s long histories of success and pre-eminent category expertise will enable retailers to respond more quickly to customer demand, offer additional supplier opportunities and deliver enhanced consumer experiences,” said Deb Conklin, president and CEO at KeHE.
”Both of our organizations share an obsession for our partners, a deep commitment to our people, a focus on serving others and financial and operational performance. This transaction represents an opportunity to capitalize on the strengths of both organizations and become an even greater force for good.”
The transaction broadens KeHE’s customer base and highlights its warehouse infrastructure. The combined capabilities include more than 31,000 customers, 80,000 SKUs, 6,100 suppliers and 7 million square feet of warehouse space across all temperature zones in 19 distribution centers. The acquisition of DPI will further support KeHE’s growing product portfolio, and advance key elements of the organization’s new strategic vision.
Additionally, DPI suppliers and retailers will gain access to KeHE’s business intelligence tools, including the KeHE Connect platform. KeHE’s technology equips suppliers with sales reporting, business analytics and data visualization services to help drive scalable success.
According to the company, participating suppliers using the KeHE Connect business Intelligence platform are experiencing more points of distribution and growth than all others. KeHE’s category management expertise supports retailers with data, insights and assortment recommendations that highlight market opportunities and act an as extension of their merchandising functions.
“Both DPI and KeHE have built impressive networks, deep industry and category expertise and value-added services over decades of operation,” said Russ Blake, CEO at DPI Specialty Foods.
“Combining our complementary strategies allows us to further capitalize on those strengths to offer superior value for the U.S. food industry.”