UNITED NATURAL FOODS TO BUY SUPERVALU

Picture of Supervalu store and truck

Distributor of natural and organic foods United Natural Foods (UNFI) will purchase US grocery retailer Supervalu for US$1.35 billion following pressure from its shareholders to sell.

UNFI's acquisition of Supervalu looks to help it diversify its customer base and portfolio as well as alleviate rising pressure on food distribution costs by tapping into its existing network. UNFI is the main supplier for Whole Foods Market in the USA.

"Combining our leading position in natural and organic foods with Supervalu's presence in fast-turning products makes us the partner of choice for a broader range of customers," said Steve Spinner, UNFI CEO.