After months of negotiations, longtime Greenwood beer distributor Delta Distributing has agreed to a sale to Meridian-based Mitchell Distributing.
The sale, officially concluded Friday, will make Mitchell Distributing the second-largest Anheuser-Busch distributorship in Mississippi, serving 32 counties.
Delta Distributing, which had been owned by the Hargrove family for decades, distributed Anheuser-Busch, Red Bull and other beverages in Leflore, Carroll, Grenada, Montgomery and Yalobusha counties.
Adam Mitchell, the third-generation president of Mitchell Distributing, said that the company would remain an active part of the local community.
“The Hargroves have always been great corporate citizens here,” Mitchell said. “That’s something we plan to absolutely maintain and increase the investment so that everyone knows we’re committed to Greenwood and the surrounding area.”
Combined employment at the company now stands at well over 400. The former owners of Delta Distributing, Hank Hargrove and his son, James Hargrove, will stay on full time with the combined company following the sale, with James serving as sales manager and Hank acting as operations manager.
“There are things to be gained on both sides” in the deal, said James Hargrove.
The scale of the company should open new opportunities for Delta Distributing employees, Mitchell said, with possibilities to move up to new positions within the larger corporation.
“We’re excited to bring (Delta’s) people into the fold and add a lot of talent to our organization,” Mitchell said. “We’re hoping that the whole will be bigger than the sum of its parts.”
The acquisition is the latest in a string of moves by the Meridian-based distributor, which now handles about a third of all Anheuser-Busch sales in Mississippi. In addition to the newly acquired Greenwood location, the company operates warehouse facilities in Meridian, Leland and Shannon.
Mitchell Distributing also operates in Maryland after purchasing a distributorship in Baltimore last year. The company purchased Cash Distributing in Columbus and Tupelo in 2008 and began operating in the Leland area in 2002.
Adding Delta Distributing to the company’s portfolio will also consolidate Mitchell’s service area, allowing the company to claim the entire U.S. 82 corridor from the Arkansas to the Alabama borders.
“It really is exciting,” Mitchell said. “Greenwood has always been kind of the shining star of the Delta.”
An earlier version of this story incorrectly stated that the former Delta Distributing location in Greenwood would remain open. In fact, distribution and warehouse operations have been moved to Leland.
• Contact Bryn Stole at 581-7235 or bstole@gwcommonwealth.com.
