Softbank and C&S to Close Deal on Kroger and Albertsons Retail Stores Purchase

A source familiar with the matter told on Sept 5 that Wholesale Grocers, with the backing of SoftBank Group, is close to a deal to acquire stores that Kroger and Albertsons Companies Inc are looking to sell in order to obtain regulatory approvals for their $25 billion merger.

The transaction's value and the number of stores involved could not be determined immediately.

When Ahold Delhaize decided to transition to self-distribution in 2019, C&S lost one of its largest customers. Through acquisitions, C&S can help offset that loss.

According to sources, which first reported the talks, C&S could announce a deal to acquire most or all of the supermarket operators' unloading stores for antitrust reasons as soon as this week.

Sources reported on February that Kroger and Albertsons were moving forward with plans to sell between 250 and 300 stores, which they hope will alleviate antitrust concerns about their merger.

The stores that the companies may sell could be worth more than $1 billion and are located throughout the Pacific Northwest, Southern California, Phoenix, and Chicago, among other areas where the two companies operate.

In March, the companies reiterated that they would divest some stores in order to obtain the regulatory approval needed to proceed with the merger.