Sponsored By

Source: Giant-Genuardi's Deal 'Going to Happen'

NORRISTOWN, Pa. — Safeway may be close to selling at least some of its Genuardi's stores to rival Giant-Carlisle, a source told SN this week.

Jon Springer, Executive Editor

September 29, 2011

1 Min Read
Supermarket News logo in a gray background | Supermarket News

JON SPRINGER

NORRISTOWN, Pa. — Safeway may be close to selling at least some of its Genuardi's stores to rival Giant-Carlisle, a source told SN this week.

A spokesman for Pleasanton, Calif.-based Safeway, which owns Genuardi’s, declined to comment last week. A spokesman for Ahold USA-owned Giant told SN separately that the chain would not comment on market speculation.

However, a local source told SN that Safeway officials were conducting inventory and equipment evaluation at some Genuardi stores this week — often a signal of the final stages of a deal. The source, who spoke on the condition of anonymity, said Giant-Carlisle could announce the acquisition of a group of Genuardi stores in as soon as 30 days. "This is going to happen," the source said.

Industry observers have been tracking a potential Genuardi's sale for years, and speculation increased earlier this month when a published report said Safeway was informally shopping the chain. The banner has struggled since Safeway acquired it from its family founders in 2001, and has closed several stores — including two that Giant later took over last year.

A source said it was unlikely Safeway could sell all of the Genuardi's sites, noting that strategic buyers would likely be turned off by heavy competition and onerous leases at some locations.

About the Author

Jon Springer

Executive Editor

Jon Springer is executive editor of Winsight Grocery Business with responsibility for leading its digital news team. Jon has more than 20 years of experience covering consumer business and retail in New York, including more than 14 years at the Retail/Financial desk at Supermarket News. His previous experience includes covering consumer markets for KPMG’s Insiders; the U.S. beverage industry for Beverage Spectrum; and he was a Senior Editor covering commercial real estate and retail for the International Council of Shopping Centers. Jon began his career as a sports reporter and features editor for the Cecil Whig, a daily newspaper in Elkton, Md. Jon is also the author of two books on baseball. He has a Bachelor of Arts degree in English-Journalism from the University of Delaware. He lives in Brooklyn, N.Y. with his family.

Stay up-to-date on the latest food retail news and trends
Subscribe to free eNewsletters from Supermarket News

You May Also Like