The Kroger Company, the nation’s largest grocery store chain, announced it will acquire Harris Teeter Supermarkets for $2.4 billion. According to the NY Times, Kroger will purchase all outstanding shares of Harris Teeter for $49.39 a share in cash and will assume Harris Teeter’s outstanding debt of $100 million.
The Kroger Company is seeking to expand its market in the Southeast and mid-Atlantic regions through this merger. Harris Teeter is widespread in these areas with 212 stores in North Carolina, Virginia, South Carolina, Maryland, Tennessee, Delaware, Florida, Georgia, and the District of Columbia. The Harris Teeter brand will function as a subsidiary of Kroger and maintain its existing senior management team.
The NY Times reports, “Kroger expects the deal to result in savings of $40 million to $50 million over the next three to four years.”
To read the full article, visit http://dealbook.nytimes.com/2013/07/09/kroger-to-buy-harris-teeter-for-2-4-billion/
NOTE: Harris Teeter Supermarkets and The Kroger Company are both BBB Accredited Businesses