MINNEAPOLIS -- Supervalu here continued to expand its corporate-store base by agreeing to purchase the assets of Allegheny Markets Co., McKees Rock, Pa., for an undisclosed sum.
Allegheny operates six stores in the Pittsburgh area under the name Shop 'n Save, a Supervalu franchised-banner program. The stores account for sales of approximately $40 million. The deal is expected to close in August.
In response to an SN question, a company spokeswoman said the company "wouldn't rule out" the possibility of seeking to acquire ownership of other Shop 'n Save stores. "We're always looking for good opportunities," she said.
Once the sale is consummated, Allegheny would become part of Supervalu's corporate-owned store base, which currently includes 232 units. Jim Sorbara, who owns the six stores, would continue to head the operation under Supervalu's ownership, with no changes anticipated in the work force or operation, Supervalu said.
Allegheny's stores range in size from 43,000 square feet up to 80,000 square feet and have approximately 1,400 employees.
Sorbara said he opted to sell because he could realize the equity value of the business and work as part of a larger organization operating the same formats.
