Kroger to Acquire Home Chef for $200 Million

by Camren Skelton

Cincinnati and Chicago — Cincinnati-based The Kroger Co. will acquire Home Chef for $200 million.

The transaction is expected to close in the second quarter and could generate future earnout payments of up to $500 million over five years if sales reach certain milestones. After the deal closes, Home Chef will operate as a subsidy of The Kroger Co., maintaining its e-commerce business, and assuming responsibility for Kroger’s meal solutions portfolio. The company, which staffs approximately 1,000 employees and operates three distribution centers in Chicago, Atlanta and San Bernardino, California, will continue to operate its offices and facilities. Following closing, Kroger will make Home Chef meal kits available to Kroger shoppers, both in stores and online. Weil, Gotshal & Manges LLP is acting as legal advisor to Kroger and Sidley Austin LLP is acting as legal advisor to Home Chef.

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