Cerberus In $9 Billion Deal For Safeway

Mar 7 2014 | 4:08am ET

Cerberus Capital Management is to buy grocery giant Safeway Inc. and will merge it with another supermarket chain it already owns.

The private-equity firm will pay more than $9 billion for Safeway, the second-largest supermarket chain in the U.S. The deal follows months of talks between the two sides and includes a break-up fee of between $150 million and $250 million, should a higher offer emerge during Safeway’s go-shop period.

Among the potential competitors during that period is Kroger Co., which last year beat out Cerberus for Harris Teeter Supermarkets.

The combined Safeway-Albertsons would have more than 2,400 stores.


In Depth

Q&A: Sancus Capital And The Disruption Of The CLO Market

Oct 5 2017 | 6:28pm ET

Traditional collateralized loan obligation (CLO) funds in the U.S. market can offer...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Finding Success as Alternatives Converge

Oct 9 2017 | 4:00pm ET

Rising interest among institutional investors over the past several years has led...

 

From the current issue of