NEW YORK — Cerberus Capital Management here may be considering the acquisition of Supervalu’s two largest banners — Albertsons and Save-A-Lot — according to reports on Wednesday.
Previously Cerberus, which owns the Albertsons LLC stores — now transitioning to Albertsons Market — was reported to have been in talks to acquire all of Supervalu, but was unable to secure financing. According to a Bloomberg News report, citing unnamed sources, Cerberus scaled back the scope of a potential deal to include only Albertsons stores and the Save-A-Lot limited-assortment banner, which includes both company-owned and licensed stores.
The report said Supervalu could use the proceeds to pay down debt and focus on the disposition or ongoing operation of its other holdings, which include several other retail banners and a large wholesale division serving independents.
Supervalu told SN Wednesday that it has nothing to add to last week’s statement that its “previously announced review of strategic alternatives is proceeding.”
Read more: Supervalu Buyout Said to Stall
“The company continues to be in active discussion with several parties,” said Mike Siemienas, a Supervalu spokesman. “There can be no assurance that this process will result in any transaction or any change in the company's overall structure or its business model.”
A Cerberus spokesperson could not be reached for comment.
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