Curated News
By: NewsRamp Editorial Staff
September 29, 2025
HF Foods Acquires Chicago Facility to Boost Midwest Expansion
TLDR
- HF Foods' Chicago facility acquisition reduces costs and expands capacity, providing competitive advantages through improved operational efficiency and market expansion opportunities.
- HF Foods purchased its leased Chicago distribution facility to exit the lease early, reduce operating expenses, and invest in capacity expansion through its ATM equity program.
- This acquisition strengthens HF Foods' Midwest operations, enhancing service reliability and cost efficiency for local restaurant customers while supporting community food supply chains.
- HF Foods strategically acquired its Chicago distribution facility, transforming leased space into owned assets to drive consolidation and fuel national network growth.
Impact - Why it Matters
This acquisition represents a strategic move that could significantly impact the Asian restaurant industry across the Midwest by improving supply chain efficiency and reducing operational costs. For restaurant owners and foodservice operators, this means potentially more reliable delivery of fresh produce and specialty ingredients at competitive prices. The enhanced distribution capabilities may lead to better menu consistency and quality for consumers enjoying Asian cuisine, while also supporting local restaurant growth through improved logistics and cost savings. As Asian cuisine continues to gain popularity nationwide, efficient distribution networks like HF Foods' expanded Chicago facility become increasingly crucial for maintaining food quality and supporting restaurant profitability.
Summary
HF Foods Group Inc., a leading distributor of international foodservice solutions to Asian restaurants across the United States, has taken a significant step in its ongoing transformation plan by acquiring a key distribution facility in Chicago, Illinois. The company, which trades on Nasdaq under the symbol HFFG, previously leased this facility following its acquisition of Great Wall Seafood in 2022. This strategic move is expected to reduce facility costs, expand capacity, and support long-term growth while strengthening the company's Midwest distribution footprint. The acquisition enables HF Foods to exit its lease agreement early and invest in facility improvements that will drive consolidation opportunities and enhance operational efficiency.
According to Felix Lin, President and Chief Executive Officer of HF Foods Group Inc., this acquisition represents a key milestone in better positioning the company for future growth. The timing aligns strategically with the company's recently established At-the-Market (ATM) equity offering program, which provides additional financial flexibility to pursue similar acquisitions and business expansion initiatives. The ATM program is expected to provide liquidity for working capital, capital expenditures, and potential future acquisitions, creating a solid foundation for the company's national network expansion. This facility has served as a cornerstone of HF Foods' Midwest operations, and the company expects to further expand its presence in this important region over the coming years.
The acquisition deepens HF Foods' commitment to the Chicago region and creates significant opportunities that are expected to yield long-term benefits for the company's local restaurant customers throughout the Midwest. By improving operational control and enhancing logistics, the company aims to reduce facility costs while driving long-term margin growth. As a leading marketer and distributor of fresh produce, frozen and dry food, and non-food products primarily to Asian restaurants, HF Foods continues to leverage its nationwide network of distribution centers and strong supplier relationships to meet the growing demand for Asian American restaurant cuisine. For more information about the company's operations and strategic direction, interested parties can visit www.hffoodsgroup.com to learn about their comprehensive approach to foodservice distribution and market expansion.
Source Statement
This curated news summary relied on content disributed by citybiz. Read the original source here, HF Foods Acquires Chicago Facility to Boost Midwest Expansion
