ACME Markets Posts Winning Bid in Auction for 27 Kings Food Markets and Balducci’s Food Lover's Markets

Rhea-AI Summary

On October 14, 2020, ACME Markets, a division of Albertsons Companies (NYSE: ACI), announced it successfully bid for 27 Kings Food Market and Balducci’s locations for $96.4 million. The transaction awaits regulatory and court approvals, including from the Federal Trade Commission, and is expected to close later this fiscal year. Once finalized, these stores will join Albertsons' Mid-Atlantic division. Jim Perkins, Mid-Atlantic division president, expressed optimism about integrating these gourmet brands to enhance customer experience.

Positive

• Successful bid for 27 stores indicates strategic expansion.
• Acquisition price of $96.4 million reflects a significant investment in premium brands.
• Plans to maintain brand identity for Kings Food Market and Balducci's could attract loyal customers.

Negative

• None.

Malvern, PA, Oct. 14, 2020 (GLOBE NEWSWIRE) -- ACME Markets, Inc., a division of Albertsons Companies, Inc., (NYSE: ACI) announced today it was the successful bidder for 27 Kings Food Market and Balducci’s Food Lover’s Market locations. The transaction, which is still subject to customary regulatory and court approvals including the approval of the Federal Trade Commission, is expected to close later this fiscal year.  

Upon the successful completion of the transaction, the stores will become part of the Mid-Atlantic division of Albertsons Companies, which operates ACME and Safeway stores on the east coast. The winning bid for the package and expected purchase price is $96.4 million.  

“We look forward to welcoming Kings Food Markets and Balducci’s Food Lover’s Markets and the gourmet expertise they are known for into our family,” said Jim Perkins, Mid-Atlantic division president. “Our company has a history of managing small, differentiated chains that offer an elevated experience, like Andronicos and Haggens in the western U.S. When we leverage their team’s expertise and continue to deliver what their customers want, these stores can thrive. We are excited to add these two premium, gourmet banners to our east coast operations, and plan to continue to operate the stores as Kings Food Market and Balducci’s Food Lover’s Market, respectively.” 

About Albertsons Companies

Locally great and nationally strong, Albertsons Companies is a leading food and drug retailer in the United States. The company operates stores across 34 states and the District of Columbia under 20 well-known banners including Albertsons, Safeway, Vons, Jewel-Osco, Shaw's, Acme, Tom Thumb, Randalls, United Supermarkets, Pavilions, Star Market, Haggen and Carrs. The Company is committed to helping people across the country live better lives by making a meaningful difference, neighborhood by neighborhood. In 2019 alone, along with the Albertsons Companies Foundation, the Company gave $225 million in food and financial support. In 2020, the Company made a $53 million commitment to community hunger relief efforts and a $5 million commitment to organizations supporting social justice. These efforts have helped millions of people in the areas of hunger relief, education, cancer research and treatment, social justice, and programs for people with disabilities and veterans' outreach.

FAQ

What is the significance of ACME Markets' acquisition of Kings Food Market and Balducci's?

The acquisition allows ACME Markets to expand its footprint and integrate premium brand offerings into its operations, enhancing customer experience.

When is ACME Markets expected to close the acquisition of Kings Food Market and Balducci's?

The transaction is expected to close later this fiscal year, pending regulatory and court approvals.

What is the purchase price for the Kings Food Market and Balducci's acquisition by ACME Markets?

ACME Markets' successful bid for the 27 stores was $96.4 million.

Which division of Albertsons will operate the newly acquired stores?

The stores will become part of the Mid-Atlantic division of Albertsons Companies.

What type of stores are Kings Food Market and Balducci's Food Lover's Market known for?

Kings Food Market and Balducci's are known for their gourmet offerings and elevated shopping experiences.