LEXINGTON, Ky. — The University of Kentucky has finalized a long-term partnership with Compass Group, one of the world's largest foodservice and support services companies, marking a significant shift in how the institution manages its dining, facilities and healthcare operations.

Through the Enterprise Services Partnership, UK and Compass Group will collaborate to improve coordination and long-term planning across UK's enterprise, which includes UK HealthCare, UK King's Daughters and UK St. Claire. The partnership is scheduled to begin July 1, with Compass initially taking over dining and concessions operations as part of a phased transition.

Compass Group will invest $275 million in service lines including dining, concessions, healthcare and facilities. The investment will upgrade campus spaces, expand service options and fund the construction of a new dining hall called the Foundry, which the Board of Trustees previously approved. Additionally, the company has committed $50 million toward research, student scholarships, UK Invests and the Advancing Kentucky Together Network.

"We look forward to working with a partner who shares the same vision as us — to advance Kentucky in all that we do," said President Eli Capilouto. "These investments help us strengthen the services people rely on every day, expand opportunities for our students and employees."

A key priority for both institutions is protecting current employees. All UK employees will remain UK employees with unchanged pay and benefits. For dining employees who transition to Compass Group roles, the company has ensured comparable benefits and equivalent financial packages. Compass Group will also provide access to expanded training, development, apprenticeships and career opportunities across its broader network.

Compass Group is not new to Kentucky. The company already employs more than 1,400 people supporting UK HealthCare and operates throughout the Commonwealth. The partnership addresses a growing trend among universities and health systems to align services more closely around evolving needs of students, patients, employees and communities.

Students will see immediate benefits. Meal plan prices will drop by 5 percent for the 2026-27 academic year, and the partnership will bring new dining options and upgraded facilities. The partnership also benefits fans attending UK Athletics events, with an average 38 percent reduction on eight core concession items at all on-campus venues, starting with Kroger Field and Historic Memorial Coliseum.

UK and Compass Group have signed an agreement, with a full contract expected to be completed this summer.