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Summit/CBM merger Elior North America

Summit/CBM merger enhances major corrections specialist

Elior North America unit is one of the industry’s major players in the prison/jail market, with revenues following this latest deal of more than $230 million.

Summit Food Service, a unit of Elior North America and a leading provider of foodservices to the corrections market, has signed a definitive agreement to acquire CBM Managed Services, another corrections foodservice specialist with annual sales of around $70 million. The merged companies represent combined annual revenues of more than $230 million.

Summit operates in 30 states and serves in some 350 state and local correctional facilities, while Sioux Falls, S.D. based CBM’s operations extend to 200 facilities in 29 states. Other major players in this field include Aramark and Trinity Services Group, a former Compass Group unit that includes the old Canteen Corrections operations.

“We are aligned in many ways with CBM in our business practices,” commented Summit CEO Tom Cusimano in the release announcing the deal. “We know and respect the resources they bring to every account and expect the merger of the companies to strengthen our customer partnerships. Adding them to the Summit family makes sense for us and for the industry we serve. Operating in this market is unique; we are fortunate that our culture and our operations show by example our understanding of the role food plays in the safety of a correctional facility.”

Summit was originally an independent firm operating in the corrections and K-12 markets when it was acquired by A’viands in 2005. The latter was subsequently acquired by Trusthouse Services Group six years later and Trusthouse was then acquired by Elior in 2013 as the firm, a longtime major presence in the international contract catering market, made a major move into the U.S. It was No. 5 on the latest FM Top 50 with 2016 revenues of $900 million.

Today, Summit operates exclusively in corrections. CBM will be aligned with Summit following the completion of the merger, per Summit’s release announcement, and will continue to be led by current President/CEO Marlin Sejnoha.

The CBM acquisition is just the latest in a string of deals Elior (operating under the Trusthouse name until March 2016) has effected recently in a variety of market segments. Earlier this year it acquired FM Top 50 firms Corporate Chefs and Lancer Hospitality, as well as Preferred Meals in 2016 and Cura HospitalityStarr Catering and another corrections specialist, ABL Management, in 2015.


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