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Sodexo Contemplating Acquisition of Aramark

10/05/2024

Sodexo, a multinational food service company based in France, is apparently evaluating the acquisition Aramark their major of U.S. competitor.  Although there has been no confirmation of discussions to bring about a deal, synergy would be beneficial to Sodexo.

 

It is questioned whether the FTC would condone the transaction given the prominent position of both companies in the same field, serving hospitals, educational institutions and sports arenas.  If the acquisition were to occur, the buying power exerted by a combination of Sodexo and Aramark could be prejudicial to suppliers of a wide range of products including eggs.

 

Sodexo has been aggressive in promoting flock and herd welfare by aligning with animal rights organizations and promoting plant-based protein with implications for the intensive livestock industry.