Court filings or official statements from Kroger

Albertsons Terminates $24.6B Merger with Kroger, Sues for Billions After Federal Judge's Block

Dec 11, 2024, 05:27 PM

Albertsons has officially terminated its $24.6 billion merger agreement with Kroger, following court rulings that blocked the deal. The decision came after both a federal and a state judge halted the proposed acquisition, citing concerns over reduced competition and potential price increases. Albertsons has filed a lawsuit against Kroger in Delaware's Court of Chancery, alleging that Kroger did not exert 'best efforts' to secure regulatory approval for the merger. The lawsuit seeks a $600 million termination fee, as well as billions in damages for legal fees and lost shareholder value. Kroger has refuted the claims, calling the lawsuit baseless and asserting that Albertsons breached the merger agreement. In addition, Albertsons has authorized a $2 billion stock buyback. The failed merger would have created the largest supermarket chain in the U.S., potentially impacting grocery prices and competition.