Publix Super Markets announced yesterday that it had reached an agreement to purchase 49 Albertsons in Florida from Albertson's LLC. The two companies are looking to close in September. Terms of the deal were not announced.
Of the 49 locations Publix is acquiring, 30 units are in central Florida, 15 in the northern portion of the state and four are in the south.
With the acquisition of the Albertsons locations, Publix removes a competitor from the market and gains entry into at least one Florida market, Escambia County, where it previously did not have a presence. Publix plans to convert all locations that remain open to its own banner. It said the timing of grand opening dates would depend on the amount of remodeling needed for individual locations.
Publix CEO, Ed Crenshaw, was upbeat about the acquisition. "The demand for the high-quality service our associate owners provide gives us the opportunity to reinvest in these communities by acquiring additional sites for Publix stores," he said in a company press release. "We continue to focus on being the premier food retailer in the areas in which we operate."
Discussion Questions: What will Publix's acquisition of Albertsons stores in Florida mean for it and its grocery competitors in the state?