C&S, Albertsons Near Deal to Sell Stores to SoftBank-Backed Firm

C&S Wholesale Grocers, with the backing of SoftBank Group (9984.T), is nearing a deal to acquire stores that Kroger (KR.N) and Albertsons Companies Inc (ACI.N) are looking to sell to obtain regulatory approvals for their $25 billion merger. The deal value and the number of stores included in the transaction took time to learn.

The move by C&S will help the company neutralize antitrust objections that might hinder its impending merger with Albertsons. Reuters reported in February that the supermarket operators were advancing plans to unload between 250 and 300 stores, estimated to be worth over $1 billion. These stores are located in areas where Kroger and Albertsons operate, including the Pacific Northwest, Southern California, Phoenix, and Chicago.

The sale of these stores will also ease pressure on the Federal Trade Commission, responsible for reviewing the massive merger. Various U.S. lawmakers and consumer advocacy groups have been nudging the agency to block the deal out of fears that it will lead to inflated grocery prices.

Ahead of the deal, the two firms have been reorganizing their operations to make room for a combined operation. The new organization includes an executive team headed by former Walmart (WMT.N) executive Mark Amelio, who is overseeing revamping the company’s supply chain. The overhaul is expected to create efficiencies and drive cost savings that will ultimately benefit shoppers, the companies said in an April 19 press release.

The companies also announced in April that they had completed the purchase of the assets of the struggling Piggly Wiggly Midwest, a regional grocer. The acquisition will allow the wholesale grocer to expand its presence in the Midwest, adding 55 Piggly Wiggly locations to its footprint. The acquisition will also help the company diversify its client base, which had suffered since the departure of one of its biggest customers, Ahold Delhaize, last year when the supermarket powerhouse opted to transition to self-distribution.

In addition, the companies have reportedly been expanding their partnerships with digital marketing vendors to boost customer loyalty. In the summer, the company signed a deal with AppCard, providing C&S customers with actionable data, advanced marketing tools, sophisticated promotions, and a campaign engine. The wholesale grocer has also been acquiring smaller distributors in the food industry, most recently acquiring Olean Wholesale Grocery Cooperative earlier this year.

Currently, C&S has around 7700 supermarkets across the United States and is one of the leading grocery wholesalers in the country. The company also offers multiple benefits to its employees, such as a competitive salary, comprehensive medical and dental coverage, flexible spending accounts, tuition assistance, adoption assistance, discounts on products and services, paid vacations, and retirement plans. In 2019, the company also released a series of commercials featuring its unique workplace policies to promote its brand. The ads drew significant attention, and the company attracted many candidates for open positions.

Most Popular

More from Walops

RECOMMENDED FOR YOU

Guangzhou Bridge Disaster: Barge Crash Plunges Vehicles into Water, Two Confirmed Dead

On Thursday, Chinese state media reported a tragic incident in the Pearl River Delta near Guangzhou city, where two individuals lost their lives, and three are currently unaccounted for. The unfortunate event unfolded when a barge collided with a bridge over the Hongqili Waterway, causing a section...

Crypto Crackdown: Genesis Pays $8 Million and Loses License After AML Failures

Following an investigation that revealed substantial deficiencies in its anti-money laundering and cybersecurity programs, Genesis Global Trading, a subsidiary of Digital Currency Group, has agreed to pay an $8 million penalty and voluntarily surrender its license from the regulator, according to the New York Department of Financial...

Amid Epstein Revelations, New Claim: Brin and Ex-Wife Vacationed on Controversial Island

A new set of court documents unsealed on Monday have revealed that Google co-founder Sergey Brin and his ex-wife Anne Wojcicki, the CEO of genetic testing firm 23andMe, vacationed on Jeffrey Epstein's 'pedophile island'.' The new revelations stem from a 2016 email exchange between Sarah Ransome, one...

Fast Track, Higher Cost: US Raises H-1B Premium Processing Fee 12%

US Citizenship and Immigration Services (USCIS) has recently announced a 12% increase in visa application processing fees across a few categories. This includes the widely used H-1B visa, which permits US companies to employ foreign workers in specialized occupations that require theoretical or technical expertise. The new...

Shipping in the Suez Canal Affected by Houthi Assaults in the Red Sea

The Iran-aligned group has launched drones and missile attacks at commercial ships at the southern end of the Red Sea, which connects to Egypt's Suez Canal in the north and the Mediterranean Sea. The attacks have prompted several shipping companies to divert vessels, avoiding the route that...

Siberia Shivers as Temperatures Plummet to a Bone-Chilling -58 Degrees Celsius

Arctic weather enfolded swathes of Russia on Tuesday, with temperatures in the wilds of Siberia falling to minus 58 degrees Celsius (minus 72 degrees Fahrenheit). In Yakutsk, one of the world’s coldest cities, some 5,000 km (3,100 miles) east of Moscow, residents struggled to cope with a...

Farewell to a Diplomatic Giant: Henry Kissinger Passes Away at 100

Henry Kissinger, the scholar-turned-diplomat whose cunning and ambition made him one of the world’s most influential power brokers for over half a century, has died. He was 100. His consulting firm released a statement saying that the former US secretary of state and national security adviser died...

X CEO Linda Yaccarino Faces Calls for Resignation as Elon Musk Supports Antisemitic Statements

Several advertising executives are urging the Chief Executive Officer of X (formerly Twitter) to resign from her role in the wake of an advertiser exodus and scrutiny over owner Elon Musk's antisemitic remarks on the platform. According to CNN, over the weekend, a "groundswell" of advertising executives...

Official Confirmation: Oppo Reno 11 to Utilize MediaTek Dimensity 8200 SoC

The Oppo Reno 11 series is all set to go official in China on November 23 with at least two entries — the regular Oppo Reno 11 and the Pro variant equipped with a periscope telephoto camera. Both models are currently up for pre-reservations in the country,...

Everything You May want to Know aboutDesigning With Cherry Kitchen Cabinets

For ten decades or so, cabinets made of the medium-density cherry hardwood have dominated the interior of many houses. Drawn from the charming American cherry fruit tree, cherry cabinets are widely known for their rot-resistant and moderate durability properties.Both designers and homeowners seem to have an affinity...

Vodafone Sells Spanish Business to Zegona in Bid to Focus on Core Markets

Vodafone (VOD.L) will sell its Spanish business to Zegona Communications (ZEG.L) for 5 billion euros ($5.30 billion) in the second major deal by its new CEO to revamp a company struggling with little growth in mature markets and a lack of cash flow to fund dividend payments....

Western Digital to Create Two Separate Companies, One for Hard Drives and One for Flash Memory

The division will create two companies focusing on the hard drive and flash memory markets. This strategic move aims to increase the performance and competitiveness of each business by providing them with a sharper focus on their respective market segments. Western Digital (WDC.O) is a leading storage...