Seattle & Northwest CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
Kroger, Albertsons to Sell More Stores to Save $25B Merger
Kroger Co. and Albertsons Companies Inc. have expanded their planned sale of grocery stores, adding an additional 166 locations than previously agreed upon to C&S Wholesale Grocers, as the two grocery giants work to gain regulatory approval for their proposed $25-billion merger.
The grocery giants announced the initial divestiture package in September 2023. The amended divestiture package, now valued at $2.9 billion, is part of the efforts by both companies to address regulators’ concerns that the merger could lead to higher prices, store closures and job losses.
In January, Washington’s Attorney General Bob Ferguson sued to block the proposed merger. In the suit filed in King County Superior Court, Ferguson argued that the $25 billion deal would harm consumers.
The updated divestiture package increases the total store count to 579, with more than 120 in Washington. Kroger also committed to investing $500 million to lower prices day one post-close and earmarked an additional $1.3 billion to improve Albertsons stores.
