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Related: About this forumSupervalu sells grocery chains, including Albertsons, to Cerberus
Source: Los Angeles Times
http://www.latimes.com/business/money/la-fi-mo-supervalu-cerberus-albertsons-20130110,0,3572330.story
Supervalu sells grocery chains, including Albertsons, to Cerberus
By Tiffany Hsu
January 10, 2013, 8:14 a.m.
Supervalu Inc. is selling five of its top supermarket chains Albertsons, Acme, Jewel-Osco, Shaws and Star Market to an investor group owned by Cerberus Capital Management for $100 million in cash.
Cerberus AB Acquisition group will also acquire $3.2 billion in debt in taking over the 877 stores.
In addition, the investor group said it will try to take between a 19.9% and 30% stake in Supervalu. The tender offer of $4 a share represents a nearly 32% premium on Supervalus closing price Wednesday.
Eden Prairie, Minn.-based Supervalu will be left with its wholesaling business, 1,300 Save-A-Lot discount grocery stores and regional chains Cub, Farm Fresh, Shoppers, Shop n Save and Hornbachers.
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By Tiffany Hsu
January 10, 2013, 8:14 a.m.
Supervalu Inc. is selling five of its top supermarket chains Albertsons, Acme, Jewel-Osco, Shaws and Star Market to an investor group owned by Cerberus Capital Management for $100 million in cash.
Cerberus AB Acquisition group will also acquire $3.2 billion in debt in taking over the 877 stores.
In addition, the investor group said it will try to take between a 19.9% and 30% stake in Supervalu. The tender offer of $4 a share represents a nearly 32% premium on Supervalus closing price Wednesday.
Eden Prairie, Minn.-based Supervalu will be left with its wholesaling business, 1,300 Save-A-Lot discount grocery stores and regional chains Cub, Farm Fresh, Shoppers, Shop n Save and Hornbachers.
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Read more: http://www.latimes.com/business/money/la-fi-mo-supervalu-cerberus-albertsons-20130110,0,3572330.story
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Supervalu sells grocery chains, including Albertsons, to Cerberus (Original Post)
Eugene
Jan 2013
OP
Mojorabbit
(16,020 posts)1. I wonder how many of these big funds own supermarkets. nt
Demeter
(85,373 posts)2. How Horrible!
I hope Cerberus loses its shirt on this deal, as it has on so many others....
Speck Tater
(10,618 posts)3. I won't shop at Albertson's
Everything costs 30% more than it costs at the WinCo discount supermarket half a mile further on down the road. What costs me $30 at Alberston's cost me $20 at WinCo.
Moliere
(285 posts)4. wonder how long...
... they take to get declare bankruptcy & pillage the companies
Ikonoklast
(23,973 posts)5. There's nothing to pillage.
Cereberus assumed a shit-ton of debt with this acquisition.
They'll close the losers, spiff up the locations that make money, and sell off the divisions just as soon as they turn a profit.
They've done it before.
jtuck004
(15,882 posts)6. And pay themselves handsomely while doing it. That's where the real pot of gold is. n/t