Attention NJ Shoppers: Acme is Getting New Owners in $24.6 Billion Deal
It appears that a 131-year-old supermarket chain in and around South Jersey and Philadelphia will be getting new owners soon.
Published reports say Kroger is buying Albertson's, the parent company of Acme, for a deal valued at $24.6 billion.
According to CNBC, Kroger is currently the second-largest grocer by market share in the country while Albertson's is fourth.
Big companies getting bigger
Kroger currently operates 25 different brands of supermarkets totaling 2,800 stores in nearly three dozen states; they have a total of 420,000 employees.
Albertson's has 22 different chains in 34 states and Washington, DC, with 290,000 workers.
The combined company would give it about 16 percent of the market, placing it between Walmart (21%) and Costco (7%).
Statement from Kroger CEO Rodney McMullen
Obtained by FOX Business Network,
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.
McMullen will continue to lead the combined company.
A long history
Most people believe the first Acme store opened in South Philadelphia in 1891. In 1917, Acme merged with a few other grocery stores in the region and became American Stores. About a decade later, American Stores began rapidly expanding across the area.
American Stores were sold in 1979 to the Skaggs Companies and then in 1999, Acme was acquired by Albertson's.
Acme was the supermarket sales leader in the Philadelphia area for decades until 2011 when ShopRite took the top spot.
The Kroger-Albertson's deal will require regulatory approval.