ROBESONIA, Pa. — Regional cooperative food distributor Associated Wholesalers and its subsidiaries, including the White Rose distribution business, has filed for bankruptcy and entered a purchase agreement with C&S Wholesale Grocers.
Under the agreement, C&S Wholesale Grocers will acquire substantially all of Associated Wholesalers’ assets, including White Rose. C&S will serve as the "stalking horse bidder" in a court-supervised auction process. Accordingly, the agreement is subject to higher and otherwise better offers, among other conditions.
Associated Wholesalers and White Rose are expected to continue operating in the normal course during the sale process.
"The addition of AWI and White Rose would expand C&S's footprint and enhance our significant capabilities in servicing independent grocers," said Rick Cohen, chairman and CEO of C&S. "AWI and White Rose have a terrific customer base, and their distribution capabilities are a natural complement to our existing portfolio. We believe we are strongly positioned to provide all of their customers with the goods and services they need to successfully run and even grow their businesses."