Phil Colin buys Hostess snacks at a Jewel-Osco grocery store Dec. 11, 2012 in Chicago. Jewel-Osco is being sold to a private equity group.(Photo: Scott Olson, Getty Images)
NEW YORK -- Supervalu says it reached a deal to sell five of its
biggest grocery chains - Albertsons, Acme, Jewel-Osco, Shaw's and Star
Market - for $100 million in cash plus more than $3 billion in debt.
The sale to AB Acquisition, an investor group led by Cerberus Capital Management, will include 877 stores.
The group will acquire the stores for $100 million in cash, and the new company will assume $3.2 billion in existing debt.
the sale, Supervalu will consist of a food wholesaler, Save-A-Lot, and
regional chains Cub, Farm Fresh, Shoppers, Shop 'n Save and
Supervalu said grocery retail veteran Sam Duncan will succeed CEO and Chairman Wayne Sales after the sale.