Albertsons Sues Kroger for $9.3 Billion Over Failed Merger
Albertsons is seeking $9.3 billion from Kroger after a federal judge blocked their proposed $24.6 billion merger on antitrust grounds.
Albertsons filed court documents in Delaware Chancery Court demanding more than $9.3 billion from Kroger following the collapse of a proposed $24.6 billion merger. The claim includes a $600 million termination fee, $75 million in interest and costs, and a premium for stockholders.
Albertsons alleges that Kroger willfully breached the merger agreement by refusing to alter its asset divestiture plan and failing to use best efforts to secure regulatory approval. Kroger has rejected these accusations, asserting it exhausted all avenues for approval. Kroger further accused Albertsons of sabotaging the process by coordinating with C&S Wholesale Grocers to push for a larger sell-off of stores.
The merger was blocked in December 2024 by a federal judge ruling in favor of the Federal Trade Commission. The court found that the plan to sell stores to C&S Wholesale Grocers was insufficient to address antitrust concerns. A two-week trial to resolve the financial dispute is scheduled for later this month.
