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Roundy's For Sale ... Again

Written by George Anderson

The 77 percent of respondents to a RetailWire poll in February 2007 who thought it was "very" or "somewhat likely" that Roundy's owner Willis Stein & Partners would sell the grocer can't really be blamed. After all, a Wall Street Journal piece at the time reported on how well the chain was doing and everything seemed to be falling into place for a deal to be made.

Roundy's, of course, was never sold, but new reports by the Deal Pipeline (a subscription site) and Supermarket News maintain that Willis Stein is looking to sell again.

The Supermarket News piece speculated that potential suitors could include investment firms, Safeway's Dominick's Finer Foods division, Kroger, and Schnuck Markets. The Deal Pipeline list included Supervalu on its list.

David Livingston, principal at DJL Research and a member of the RetailWire BrainTrust, told The Business Journal of Milwaukee, that whatever company acquires Roundy's will have an uphill battle against stiff and growing competition from Aldi, Walmart and Woodman's Food Markets.

"Seems like every week we hear another Wal-Mart coming in, and every time one of these comes in, it's going to change the value of (Roundy's)," Mr. Livingston told The Business Journal.

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