Sprouts1540 copy.jpg Sprouts Farmers Market

Analysts see benefits for Sprouts in Albertsons merger

Smaller chain would reap purchasing, operating efficiencies

Sprouts Farmers Market stands to gain from the buying power of Albertsons Cos. if the two companies were to consummate the merger they are reported to have discussed, according to analysts.

Both Sprouts and Albertsons purchase product from wholesaler KeHE Foods, and combining the two contracts could result in savings of about $50 million annually, according to Karen Short, an analyst at Barclays Capital.

Albertsons recently signed a long-term supply agreement for natural and o

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