Kroger, Albertsons and C&S extend merger timeline to August

Chicago, Jan. 16 – Kroger Co., Albertsons Cos. Inc. and C&S Wholesale Grocers, LLC released a joint statement that the merger timeline has been extended through the first half of Kroger’s fiscal 2024, or to a new longstop date of Aug. 17, 2024.

“We remain in active and ongoing dialogue with the Federal Trade Commission and individual state attorneys general regarding our proposed merger and divestiture plan,” the companies said in the statement.

Kroger is planning a merger with Albertsons and a comprehensive divestiture to C&S.

Kroger is planning to buy Albertsons for a $24.6 billion purchase price, including the assumption of about $4.7 billion of Albertsons debt, according to early documentation about the transaction.

Albertsons was planning to declare and pay a special cash dividend of up to $4 billion before close, which would reduce the purchase price commensurately.

C&S was planning to buy 413 stores, eight distribution centers, two regional headquarters and five private label brands in 17 states and the District of Columbia as part of the divestiture transaction.

The acquisition price for the divestiture is $1.9 billion.

Prior to closing, up to 237 stores may be part of the deal if it helps secure FTC and other governmental clearance.

The deal was expected to be completed in early 2024.

Kroger is a Cincinnati-based grocery retailer. Albertsons is a Boise, Idaho-based food and drug retailer. C&S is a Keene, N.H.-based wholesale grocery distributor.

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