EU Approves Sysco's Acquisition of UK Food Distributor Brakes

By Viktoria Dendrinou

BRUSSELS -- The European Union's antitrust watchdog approved Thursday the acquisition of U.K. food distribution Brakes Group by U.S. company Sysco Corp.

The European Commission, the EU's executive arm, said the takeover would not adversely affect competition in Europe.

"Consumers, hospitals, schools and other food-service customers must be able to rely on competition to deliver affordable prices and good service. Our investigation has confirmed that this would be the case also after the merger," Margrethe Vestager, the bloc's competition commissioner, said.

Sysco Corp. agreed in February to acquire Brakes Group for $800 million, sharply expanding the U.S. company's overseas presence after regulators last year blocked its effort to buy its chief domestic rival.

The acquisition also entails the assumption of $2.3 billion in debt.

Write to Viktoria Dendrinou at [e-mail]

(END) Dow Jones Newswires

June 09, 2016 06:36 ET (10:36 GMT)

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