Pepper has acquired Kimelo, a provider of vertical distribution software serving the foodservice industry.

The companies did not disclose terms of the deal. Pepper is an AI and ecommerce revenue platform for distributors.

Pepper acquisition of Kimelo

The acquisition brings Kimelo’s ordering and supply chain tools under Pepper’s platform.

Pepper’s platform helps independent distributors manage sales, customer relationships, and ecommerce operations. Kimelo’s customers will now be integrated into Pepper’s network of more than 400 distributors and 70 technology partners.

Technology veterans founded Kimelo, which CEO Kim Spalding leads. It built one of the first restaurant supply apps designed to simplify daily purchasing for restaurants and strengthen connections with distributors.

Pepper co-founder and CEO Bowie Cheung said the combination reflects growing demand for technology to help distributors operate more efficiently as they face consolidation and shifting customer expectations.

The deal adds to a trend of consolidation in distribution technology, as software providers aim to offer unified platforms for independent distributors competing in a rapidly digitizing market.

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