Kroger finalizes Home Chef merger
Kroger and Home Chef, a private meal kit company, have finalized their merger agreement, accelerating the availability of meal kits and positioning Kroger to help revolutionize how today’s families shop for, prep and cook their meals.
The initial transaction price is $200 million and future earnout payments of up to $500 million over five years are contingent on achieving certain milestones, including significant growth of in-store and online meal kit sales. The merger comes on the heels of Home Chef's 150 percent growth in 2017, $250 million in revenue and two profitable quarters.
"We're excited to welcome Home Chef to the Kroger family of companies," said Rodney McMullen, Kroger's chairman and CEO. "The merging of our two innovative, data-driven, and customer-focused cultures will allow us to accelerate our reach across America, serving food inspiration and uplift."
"We couldn't be more excited to join the Kroger family and for what this will mean for millions of customers," added Pat Vihtelic, Home Chef's founder and CEO. "We look forward to bringing Home Chef's simple, convenient and enjoyable meal solutions to Kroger locations."
Kroger will make Home Chef meal kits available to customers, both in stores and online.
The initial transaction price is $200 million and future earnout payments of up to $500 million over five years are contingent on achieving certain milestones, including significant growth of in-store and online meal kit sales. The merger comes on the heels of Home Chef's 150 percent growth in 2017, $250 million in revenue and two profitable quarters.
"We're excited to welcome Home Chef to the Kroger family of companies," said Rodney McMullen, Kroger's chairman and CEO. "The merging of our two innovative, data-driven, and customer-focused cultures will allow us to accelerate our reach across America, serving food inspiration and uplift."
"We couldn't be more excited to join the Kroger family and for what this will mean for millions of customers," added Pat Vihtelic, Home Chef's founder and CEO. "We look forward to bringing Home Chef's simple, convenient and enjoyable meal solutions to Kroger locations."
Kroger will make Home Chef meal kits available to customers, both in stores and online.