Ownership could come full circle for Albertsons-Haggen stores
Ownership could come full circle for Albertsons-Haggen stores
Last December Haggen entered into an agreement to purchase 146 stores from Albertsons and Safeway Inc. Now it looks like a significant number of those stores could be headed back to Albertsons, and Haggen is looking to sell off all of its stores.
At the time of the original deal, Haggen was looking to jump from 18 stores to 164, and Albertsons and Safeway needed to divest the stores — as well as 22 others — in order to secure FTC clearance of the companies’ merger.
Since then Albertsons filed a $40 million lawsuit against Haggen, claiming the company failed to pay for inventory, and Haggen sued Albertsons for more than $1 billion, claiming the latter illegally accessed Haggen’s confidential data to gain an unfair competitive advantage.
In September Haggen filed for Chapter 11 bankruptcy protection and announced plans to exit the Southwest market to focus on the Pacific Northwest and a small number of core stores; however, this week the company filed documents expanding the sale to include all of its locations.
This week 95 stores are being sold at auction. Of the 95, Albertsons submitted baseline bids for 36 stores. Its offers maxed out at $1.7 million, though several stores received a bid of $1. The auction started Nov. 9 and continues through Nov. 11.
Last week Gelson’s purchased eight Haggen stores and Smart & Final purchased 28.