Reinhart will be acquired from Performance Food Group's owner, Reyes Holdings LLC, in an all-cash deal, Performance Food CEO George Holm confirmed to The Wall Street Journal on Monday.
Food distributors - who orchestrate getting products from growers, producers and manufacturers to restaurants, retailers and other outlets - have been dealing with higher costs that have pressured profits in a relatively low-margin and fragmented industry.
Those costs include higher pay for truck drivers and logistics workers in a tight labor market, as well as increased shipping, transport and fuel costs.
Reinhart generated more than $6 billion in revenue last year. Combined, the companies would have more than $30 billion in sales, according to Performance Food, which has a market value of $4.2 billion.
Shares of Performance Food gained 3.18% to $41.25 in early trading Monday.
5 Blockbuster M&A Deals of 2019