Official court documents or press releases from Albertsons or Kroger

Albertsons Ends $24.6 Billion Kroger Merger After Courts Block Deal; Sues for Breach, Seeks Billions

Dec 11, 2024, 02:41 PM

Albertsons has terminated its proposed $24.6 billion merger with Kroger after the deal was blocked by federal and state courts in Oregon and Washington. The company is suing Kroger in Delaware's Court of Chancery, alleging that it failed to exercise "best efforts" and take "any and all actions" to secure regulatory approval, resulting in a breach of contract. The merger, which would have created one of the largest grocery chains in the United States, faced significant antitrust concerns over reduced competition and potential harm to consumers and workers. Albertsons is seeking billions of dollars in damages and a $600 million termination fee. Additionally, Albertsons authorized a $2 billion share buyback program and increased its quarterly dividend by 25% to $0.15 per share. Kroger has refuted the lawsuit, calling it baseless and stating that Albertsons breached the merger agreement.