HomeLatest ThreadsGreatest ThreadsForums & GroupsMy SubscriptionsMy Posts
DU Home » Latest Threads » Forums & Groups » Topics » Economy & Education » Economy (Group) » Supervalu sells grocery c...
Introducing Discussionist: A new forum by the creators of DU

Thu Jan 10, 2013, 11:37 AM

Supervalu 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, Shaw’s 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 Supervalu’s 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 Hornbacher’s.

-snip-


Read more: http://www.latimes.com/business/money/la-fi-mo-supervalu-cerberus-albertsons-20130110,0,3572330.story

6 replies, 995 views

Reply to this thread

Back to top Alert abuse

Always highlight: 10 newest replies | Replies posted after I mark a forum
Replies to this discussion thread
Arrow 6 replies Author Time Post
Reply Supervalu sells grocery chains, including Albertsons, to Cerberus (Original post)
Eugene Jan 2013 OP
Mojorabbit Jan 2013 #1
Demeter Jan 2013 #2
Speck Tater Jan 2013 #3
Moliere Jan 2013 #4
Ikonoklast Jan 2013 #5
jtuck004 Jan 2013 #6

Response to Eugene (Original post)

Thu Jan 10, 2013, 11:42 AM

1. I wonder how many of these big funds own supermarkets. nt

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Eugene (Original post)

Thu Jan 10, 2013, 11:45 AM

2. How Horrible!

I hope Cerberus loses its shirt on this deal, as it has on so many others....

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Eugene (Original post)

Thu Jan 10, 2013, 12:22 PM

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.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Eugene (Original post)

Thu Jan 10, 2013, 01:13 PM

4. wonder how long...

... they take to get declare bankruptcy & pillage the companies

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Moliere (Reply #4)

Thu Jan 10, 2013, 04:57 PM

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.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Ikonoklast (Reply #5)

Fri Jan 11, 2013, 08:51 PM

6. And pay themselves handsomely while doing it. That's where the real pot of gold is. n/t


Reply to this post

Back to top Alert abuse Link here Permalink

Reply to this thread