CORE - Performance Food Group defended by BTIG on potential for long-term synergies from Core-Mark deal

BTIG defends Performance Food Group ([[PFGC]] -0.3%) after the company announced its intention to acquire Core-Mark ([[CORE]] +1.7%). Analyst Peter Saleh thinks the deal significantly expands PGFC's presence in the convenience store channel by creating the second-largest distributor in the space. Saleh notes that the Core-Mark addition will lead to 60% higher sales and 30% higher adjusted EBITDA, while also being accretive in the first year. "While we appreciate concerns regarding the long-term synergies and magnitude of EPS accretion, we take solace in management's acquisition track record, which includes Reinhart and Eby-Brown in the recent past, both of which have been successful, in our view," updates Saleh.BTIG keeps a Buy rating on Peformance Food Group and price target of $66. Perhaps most importantly, long-term synergies are seen from the PFGC-CORE deal. Wells Fargo was positive on Performance Food yesterday amid the share price stumble. Shares of Performance Food Group are

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Performance Food Group defended by BTIG on potential for long-term synergies from Core-Mark deal