Albertsons sues Kroger, terminates deal after federal judge blocks massive grocery merger

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Ftc,Lina Khan,Mergers & Acquisitions

The proposed merger between supermarket giants Kroger and Albertsons floundered on Tuesday after judges overseeing two separate cases both halted the deal.

In addition to a $600 million termination fee, Albertsons is seeking “billions of dollars in damages from Kroger to make Albertsons and its shareholders whole” and relief for the years and millions of dollars that went down the drain after the deal failed,Albertsons said it filed a lawsuit on Wednesday alleging Kroger failed to exercise “best efforts” and take “any and all actions” to secure regulatory approval.

Kroger refused to divest assets necessary for antitrust approval, ignored feedback from regulators and failed to cooperate with Albertsons, the company said.

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