A&P sells Metro shares to fund Pathmark acquisition

By Lisa Kerner

Charlotte, N.C., Nov. 26 - The Great Atlantic & Pacific Tea Co., Inc. sold all of its 11.7 million shares of Metro Inc. stock for some $347 million, the company announced on Tuesday.

The sale was made in connection with A&P's financing of its Pathmark Stores, Inc. acquisition.

It was previously reported that A&P could reduce the size of its $780 million senior secured bridge loan by as much as $450 million pending the results of the planned sale of the Metro shares. A&P agreed on March 5, 2007 to acquire Pathmark for $1.3 billion in cash, stock and debt assumption or retirement. Pathmark shareholders approved the deal in early November and will receive $9 in cash and 0.12963 of a share of A&P stock for each Pathmark share.

A&P is a Montvale, N.J.-based supermarket chain. Pathmark is a Carteret, N.J.-based supermarket chain.

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