Report: Grocery wholesaler considering acquiring Supervalu distribution business
Minneapolis -- A Monday report in the Wall Street Journal said that grocery supplier C&S Wholesale Grocers is said to be interested in buying the distribution business of Supervalu Inc.
On July 11, Supervalu – which owns such grocery banners as Albertson’s, Jewel-Osco and Save-A-Lot – revealed it would explore a sale of all or part of the company. It said it had hired Goldman Sachs and Greenhill & Co. to launch a review of strategic options, including asset sales.
According to the WSJ report, Supervalu’s distribution business could be an attractive purchase. For the quarter ended June 16, the distribution arm posted revenue of $2.48 billion, or more than 23% of overall sales.
On Monday, WSJ also reported that Supervalu is expected to begin sending out financial information to potential suitors, including private equity firms Kohlberg Kravis Roberts and TPG Capital, as well as other supermarket companies.