Kroger (Cincinnati) and Albertsons (Boise, Idaho) have updated their divestiture plan with C&S Wholesale Grocers LLC (Keene, N.H.) in order to move the merger between Kroger and Albertsons forward – one that was announced in October 2022. This modified package is an updated version from the original unveiled in September 2023.
The new proposal includes increasing the store count to-be sold by 166 for a final of 579 stores.
“The enhanced divestiture package includes a modified and expanded store set and additional non-store assets to further enable C&S to operate competitively following the completion of the proposed merger,” a press release from the merger partners states. “The companies believe the amended divestiture package will bolster their position in regulatory challenges to the proposed merger, including pending court proceedings.”
These locations will be sold to C&S following the closing of the merger between Kroger and Albertsons:
- Washington: 124 Albertsons and Kroger stores
- California: 63 Albertsons and Kroger stores
- Colorado: 91 Albertsons and Kroger stores
- Oregon: 62 Albertsons and Kroger stores
- Texas/Louisiana: 30 Albertsons stores
- Arizona: 101 Albertsons stores
- Nevada: 16 Albertsons stores
- Illinois: 35 Albertsons and Kroger stores
- Arkansas: 18 Albertsons stores
- Idaho: 10 Albertsons stores
- New Mexico: 9 Albertsons Stores
- Montana/Utah/Wyoming: 11 Albertsons stores
- Washington, D.C./Maryland/Virginia/Delaware: 9 Harris Teeter stores
“Subject to fulfillment of customary closing conditions,” along with the finalization of the merger between Kroger and Albertsons, C&S will pay Kroger “an all-cash consideration of approximately $2.9 billion, including customary adjustments,” the press release states.
The Kroger-Albertsons merger was originally announced in October 2022 and temporarily blocked by the U.S. Federal Trade Commission (FTC) in February 2024.