Supervalu to acquire Associated Grocers of Florida in $180M transaction
Supervalu and Associated Grocers of Florida announced that they have entered into a definitive merger agreement for SUPERVALU to acquire Associated Grocers in a transaction valued at approximately $180M. This transaction provides SUPERVALU with the ability to expand its operations into a new part of Florida as well as provides new opportunities to bring SUPERVALU's products and services to Associated Grocers' diverse customer base in South Florida, the Caribbean, and other international markets. Additionally, as part of the pending transaction, SUPERVALU has reached a long-term supply agreement with Associated Grocers' largest customer that will go into effect upon the closing of the transaction. The transaction, which was approved by each company's board of directors, is currently expected to close by the end of calendar year 2017, subject to approval by Associated Grocers' shareholders and other customary closing conditions. Following completion of the merger, Associated Grocers will be a wholly-owned subsidiary of SUPERVALU.