Ahold Delhaize USA, Cargill Make Deal for Meat-Processing Facilities

Grocery company sells facilities as it becomes more intentional with omnichannel investments

2/8/2024

Ahold Delhaize USA is selling off two meat-processing facilities to make way for new investments.

Infinity Meat Solutions, a subsidiary of Ahold Delhaize USA, has sold two Northeast meat-processing facilities to Cargill. The move is part of Ahold Delhaize USA’s wider focus on investing in its omnichannel businesses and being more intentional with its investments to drive growth in the United States.

The facilities, located in North Kingstown, R.I., and Camp Hill, Penn., respectively, are already staffed by Cargill associates and will continue to provide packaged meat products to the grocer’s brands in the region.

“As our brands focus on being the leading omnichannel grocery retailers in our markets, we have made the decision to sell these facilities so that we can continue to be intentional about our investments in the U.S. as we drive growth,” said JJ Fleeman, CEO, Ahold Delhaize USA. “By aligning these facilities with a company that specializes in meat production, we can continue to provide quality products to our brands’ customers and increase our focus on being leading omnichannel retailers.”

One of those omnichannel investments is ADUSA’s recent announcement of a partnership with DoorDash to offer grocery delivery from each of its banners. The option is already in place for most customers at Giant Food, The Giant Co., Hannaford and Stop & Shop, and Food Lion will pilot with DoorDash in February before an expected full rollout in March.

“As leading omnichannel grocery retailers in their markets, Ahold Delhaize USA brands are focused on providing fast and convenient grocery delivery for customers. The addition of DoorDash as a marketplace partner for our companies is very exciting,” said Fleeman. “The speed and ease of DoorDash and its strong reputation for providing great customer service aligns with the priorities of each of our local brands.”

Ahold Delhaize USA, a division of Zaandam, Netherlands-based Ahold Delhaize, operates more than 2,000 stores across 23 states and is No. 10 on The PG 100, Progressive Grocer’s 2023 list of the top food and consumables retailers in North America. PG also named the company one of its Retailers of the Century and its 10 Most Sustainable Grocers.