The Investor
06 Sep 2026, 08:20
Sysco Secures $750 Million Loan Facility to Help Fund JRD Acquisition
Sysco (NYSE: SYY) has established a $750 million senior unsecured delayed-draw term loan facility, with proceeds expected to help finance its previously announced acquisition of JRD Unico and Warehouse Realty.
The facility consists of two $375 million tranches, with maturities of six and eight years. Sysco can draw the funds in multiple advances during the one-year period following the amendment. The financing was arranged with CoBank and lenders under Sysco’s existing revolving credit agreement, with Bank of America serving as administrative agent.
Sysco said the proceeds can be used for general corporate purposes, including acquisitions, and intends to use the financing partly for the cash consideration and transaction expenses associated with the JRD deal.
Sysco Prepares Management for Integration
The company also approved performance-based retention awards tied to the transaction. CEO Kevin Hourican received a $2 million target PSU award, while interim CFO Brandon Sewell received a $1 million award. The awards are contingent on the acquisition closing, currently anticipated by the third quarter of 2027.
Sysco separately granted a $700,000 cash award to its chief human resources officer in connection with leadership of the company’s AI-efficiency and AI-driven business transformation initiatives.
Sysco (NYSE: SYY) has established a $750 million senior unsecured delayed-draw term loan facility, with proceeds expected to help finance its previously announced acquisition of JRD Unico and Warehouse Realty.
The facility consists of two $375 million tranches, with maturities of six and eight years. Sysco can draw the funds in multiple advances during the one-year period following the amendment. The financing was arranged with CoBank and lenders under Sysco’s existing revolving credit agreement, with Bank of America serving as administrative agent.
Sysco said the proceeds can be used for general corporate purposes, including acquisitions, and intends to use the financing partly for the cash consideration and transaction expenses associated with the JRD deal.
Sysco Prepares Management for Integration
The company also approved performance-based retention awards tied to the transaction. CEO Kevin Hourican received a $2 million target PSU award, while interim CFO Brandon Sewell received a $1 million award. The awards are contingent on the acquisition closing, currently anticipated by the third quarter of 2027.
Sysco separately granted a $700,000 cash award to its chief human resources officer in connection with leadership of the company’s AI-efficiency and AI-driven business transformation initiatives.
