Kroger revealed the plan to buy Albertsons in a nearly $25 billion deal which is anticipated to finalize in 2024. It would unite two of the country’s major grocery chains and create one of the country’s largest private employments.
The two companies have a combined workforce of 710,000 people, most unionized in an industry with low unionization rates, roughly 5,000 outlets, and more than $200 billion in sales.
The merger “accelerates our position as a more compelling alternative to larger and non-union competitors,” said Kroger CEO Rodney McMullen.
If the deal goes through, it will be one of the largest mergers in US retail history, leaving behind Amazon’s $13.7 billion acquisition of Whole Foods in 2017. By sales, the firm would become the third-largest retail chain in the United States. Its total market share in the $1.4 trillion grocery industry would be 13.5%, placing it second only to Walmart’s 15.5%.
