Chefs' Warehouse Acquires Specialty Food Distributor Chef Middle East - The Chefs' Warehouse (NASDAQ:CHEF)

The Chefs' Warehouse, Inc. CHEF has acquired specialty food distributor Chef Middle East (CME) from Gulf Capital, an alternative asset management firm in the Gulf and Southeast Asia. The financial terms were not disclosed.
CME has operations in the United Arab Emirates, Qatar, and Oman. It provides specialty food products to higher-end restaurants, hotels, and catering establishments in the region.
Chefs' Warehouse revealed hopes that the Middle East region's high-end income demographic, coupled with Dubai's role as a regional tourism and commercial hub, will cater to the type of customer and service model it has thrived on for years.
The company expects the acquisition to generate $160 million - $180 million in annual net sales and $11 million - $14 million in EBITDA.
"Similar to our positioning in the US and Canada, CME is the premier provider of specialty food products to the higher-end restaurants, hotels and catering establishments in the region," said Chairman and CEO Christopher Pappas.
Chefs' Warehouse held $145.4 million in cash and equivalents as of September 23, 2022.
Price Action: CHEF shares are trading higher by 1.64% at $37.23 on the last check Tuesday.
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