News Formal

What We Know About The $20B Kroger, Albertsons Grocery Merger

  • 📰 nbcchicago
  • ⏱ Reading Time:
  • 49 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 23%
  • Publisher: 51%

United States News News

United States United States Latest News,United States United States Headlines

Two of the nation’s largest grocers — Kroger and Albertsons, the parent companies of Chicago-area stores Mariano’s and Jewel Osco — have agreed to merge in a deal they say would help them better compete with the likes of Walmart and Amazon. Here’s what we know about the deal so far.

The massive merger means the stores together would control a 13% slice of the country's grocery market.

According to J.P. Morgan analyst Ken Goldman, a stronger combined company could possibly help tame food price inflation, since it would have more power to reject food producers’ price increases. The two chains combined have 34,000 private label products at various price points that compete directly with food manufacturers.

Kroger also said the combined stores would provide greater and faster access to fresh food, with a combined 66 distribution centers and 52 manufacturing plants. Together, the stores operate in 48 states and the District of Columbia. in September compared with last year, according to U.S. data released Thursday.

Albertsons was bought by a consortium of investors including Cerberus Capital Management, a private equity firm, in 2006. Cerberus helped finance Albertsons’ 2015 purchase of the Safeway grocery chain and attempted a failed merger with Rite Aid in 2018. Albertsons became a publicly traded company in 2020.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 545. in US
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Factbox: Mega merger talks turn spotlight on Kroger, AlbertsonsGrocery giant Kroger Co (KR.N) is to merge with smaller rival Albertsons Companies Inc (ACI.N), Bloomberg News reported on Thursday, in what would be one of the biggest deals in the U.S. retail landscape in recent years.
Source: Reuters - 🏆 2. / 97 Read more »

Grocery chains Kroger, Albertsons in talks for possible merger: reportA possible agreement could reportedly be reached as soon as this week. In February, Albertsons' board of directors launched a review of potential strategic alternatives. Less competition=higher prices & profits. The 'trust' in antitrust. The breaking of supply and demand. Bernie is not going to be happy! The DOJ should never allow this merger.
Source: FoxBusiness - 🏆 458. / 53 Read more »