NEW YORK Supervalu Inc., the parent company of Shaws Supermarkets, is selling off five of its grocery chains, including Shaws and Albertsons, after years of being squeezed by intensifying competition. The nations No. 3 traditional supermarket operator announced Thursday that the sale of 877 stores to an investor group led by Cerberus Capital Management will also include Albertsons, Acme, the Jewell-Osco pharmacy chain, and Star Market. Cerberus already owns about 200 Albertsons in the South and Southwest. Following the sale, Supervalu will focus on its Save-A-Lot discount stores, as well as its smaller regional chains Cub, Farm Fresh, Shoppers, Shop n Save and Hornbachers. It will also keep its wholesale business that distributes groceries to stores. The investor group will pay $100 million in cash for the stores, and the new company will assume $3.2 billion in existing debt. Cerberus will also offer to buy up to 30 percent of the remaining Supervalu for $4 per share after the deal closes. There was no word Thursday on what the pending deal will mean for any of the chains, including the Shaws string of superarkets that include two stores in Gloucester one on Railroad Avenue and the other off Eastern Avenue. … Continue reading
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