Kroger has announced plans to buy Albertsons in a deal that is worth US$24.6 billion. The merger would combine the country’s two largest supermarket chains; they would have 4,996 stores, 66 distribution centres, 2,015 petrol stations, 52 manufacturing plants and 3,972 pharmacies between them.
“We are bringing together two purpose-driven organizations to deliver superior value to customers, associates, communities and shareholders. Albertsons Cos. brings a complementary footprint and operates in several parts of the country with very few or no Kroger stores. This merger advances our commitment to build a more equitable and sustainable food system by expanding our footprint into new geographies to serve more of America with fresh and affordable food and accelerates our position as a more compelling alternative to larger and non-union competitors,” said Rodney McMullen, Kroger Chairman and Chief Executive Officer.
In 2021 Albertson's and Kroger's combined revenue was around US$210 billion. The merger would see them reach two of every three consumers in the USA.
“At Albertsons Cos., we are guided by an ambition to create customers for life. Together with Kroger, our combined iconic banners will be able to provide customers with even more value and greater access to fresh food and essential pharmacy services. Given the similarities in the culture and values at Kroger and Albertsons Cos., I am confident that the combination will also have a positive impact on our associates and the communities we are proud to serve. We look forward to working together with Kroger to capture the compelling opportunities ahead,” said Vivek Sankaran, CEO of Albertsons Cos.
