© Reuters. Kroger (KR) in Merger Talks With Albertsons (ACI) – Reports
By Sam Boughedda
Kroger (NYSE:) is in discussions regarding a merger with Albertsons (NYSE:), according to a report by Bloomberg on Thursday.
Citing people familiar with the matter, Bloomberg stated that there could be an agreement as soon as this week, although the structure and price of the deal couldn’t be learned, while no final decision has been made, and talks could still falter.
Supermarket firm Kroger’s shares jumped on the news, hitting a high of $48.36 per share. However, it has since retraced, currently trading around the $45.70 mark. On the other hand, rival US grocer Albertsons has so far maintained the majority of its gains following the Bloomberg report, up over 6% at around $27.36 per share.
Albertsons has been assessing its options to boost growth as gains made during the COVID pandemic have eased and the company battles soaring inflation. In February, the company announced a strategic review, raising the prospect of potential disposals to help create shareholder value.
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