Alert, RNDC, Breakthru Beverage Agree to Merge


Confirming the worst kept secret of the summer, Republic National Distributing Company and Breakthru Beverage Group will merge to stop Southern Glazer's Wine & Spirits from running away with the distribution tier. The two have announced a letter of intent to combine operations and assets, and the transaction is slated to close in the second quarter of 2018, per a release.

RNDC is the second largest distributor in the US, and Breakthru is No. 3. Together they will represent $12 billion in sales. RNDC is in 23 markets, primarily in central and Southeast parts of the country. Breakthru is in 16 markets. There's some overlap in eight markets: Alabama, Arizona, Colorado, Florida, Maryland, South Carolina, Virginia and Washington D.C. Together they will cover a 30-state footprint.

"The merger of RNDC and Breakthru will create strategic opportunities that will benefit our associates and our business partners in a rapidly changing and highly competitive marketplace. Much more than a growth opportunity, we are entering this venture to create something that is different, sustainable and transformative," says RNDC president and ceo Tom Cole.

Tom Cole will take the helm of the new company as ceo, according to the letter of intent. Bob Hendrickson will the coo; Danny Wirtz will take on the role of chief growth and strategy officer; and Greg Baird will be the chief integration officer. Other appointments will be announced as they get closer to sealing the deal.

"Breakthru looks forward to joining forces with RNDC to establish an even stronger foundation of industry knowledge, talent, history and heritage. We see this as the launch pad to bring innovation to life and to usher in a new era for our business and industry," says Breakthru chief Greg Baird.

Meanwhile, SGWS is still the largest distributor in the US spanning 41 markets, representing about $16 billion in sales.

Until later,
Your Editors

Emily Pennington -
Sarah Barrett -

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