Core-Mark Holding Company, Inc. to Performance Food Group

Food Distribution/May 2021/Barclays

Deal Information

Target

Core-Mark Holding Company, Inc.

Acquiror

Performance Food Group

Sector

Food Distribution

Target Type

Public

Acquiror Type

Strategic

Advisors

Barclays

Enterprise Value

$2.4B

EV / LTM Sales

EV / LTM EBITDA

11.3x

EV / Fwd EBITDA

Comparable transactions cited by the advisor, excluding the subject transaction.

17 comps


Mar 2020	Smart Foodservice Warehouse Stores	US Foods	$970M	-	11.4x	-
Jul 2019	Reinhart FoodService, L.L.C.	PFG	$2.0B	-	12.1x	-
Mar 2019	Eby-Brown Company LLC NP: data not publicly available.	PFG	-	-	-	-
Jan 2019	Lipari Foods Operating Company, LLC NP: data not publicly available.	H.I.G. Capital	-	-	-	-
Jul 2018	Services Group of America (1) Acquisition multiples for U.S. Foods and Services Group of America represented 2018E Adjusted EBITDA.	US Foods	$1.8B	-	14.6x	-
Jul 2018	Supervalu Inc.	United Natural Foods, Inc.	$2.8B	-	10.2x	-
Oct 2017	Associated Grocers of Florida, Inc.	Supervalu Inc.	$180M	-	8.8x	-
Aug 2017	TriMark USA	Centerbridge Partners, L.P.	$1.4B	-	10.8x	-
May 2017	Farner-Brocken Company NP: data not publicly available.	Core-Mark	$174M	-	-	-
Apr 2017	Unified Grocers, Inc.	Supervalu Inc.	$375M	-	10.9x	-
Feb 2016	Brakes Group	Sysco Corporation	$3.1B	-	11.9x	-
Jul 2014	TriMark USA NP: data not publicly available.	Warburg Pincus LLC	-	-	-	-
Dec 2013	US Foods (2) Announced not completed.	Sysco Corporation	$8.2B	-	9.9x	-
Jul 2013	Nash Finch Company	Spartan Stores, Inc.	$745M	-	7.0x	-
Oct 2012	Smart & Final Stores Corp.	Ares Management	$972M	-	7.9x	-
Jan 2008	PFG	Vistar Corporation	$1.3B	-	10.8x	-
May 2007	Foodservice	CD&R, KKR US	$7.1B	-	13.9x	-
	Mean			-	10.8x	-
	Median			-	10.8x	-

Discount rate and terminal value assumptions the advisor selected for its discounted cash flow analysis.

WACC: 7.5% – 8.5%
Terminal method: Perpetuity growth
Terminal assumption: 1.75% – 2.25%
Forecast basis: Core-Mark Forecasts (Unlevered Free Cash Flow)
Forecast period: stub period March 31, 2021 through December 31, 2021, and fiscal years 2022 through 2025

Advisor	WACC	Terminal method	Terminal assumption	Forecast basis	Forecast period	Filing
Barclays	7.5% – 8.5%	Perpetuity growth	1.75% – 2.25%	Core-Mark Forecasts (Unlevered Free Cash Flow)	stub period March 31, 2021 through December 31, 2021, and fiscal years 2022 through 2025	Open