Welcome to FIS   Sponsored By
Subscribe to FIS | Register with FIS | Advertise with FIS | Newsletter | About FIS | Contact us
   


Sobeys' President and Chief Executive Paul Sobey. (Photo: StockFile)

Sobeys will take over Safeway's Canadian assets

Click on the flag for more information about Canada CANADA
Friday, June 14, 2013, 02:10 (GMT + 9)

Grocer Sobeys Inc will acquire Canada Safeway Ltd for CAD 5.8-billion (USD 5.7 billion), which it believes will allow it to more smoothly penetrate the Western Canadian retail market, since the retailer has 213 stores across the country.

"After the acquisition, Sobeys will be a leading grocer in Western Canada and the largest grocer in Alberta, an attractive, high-growth market," said President and Chief Executive Paul Sobey. "This acquisition represents a unique and highly strategic opportunity for Sobeys to leverage its existing asset base, effectively creating a new platform for growth."

The acquisition will be completed through the wholly-owned Sobeys Inc subsidiary of Sobeys' parent company, Empire Company Limited. It will include 199 in-store pharmacies and 62 gas stations and Empire Co will also own 10 liquor stores, four distribution centres and 12 manufacturing facilities.

So far, it has not been decided whether the new network of stores will be branded under the Safeway or Sobeys banner or whether the two brands will be kept independent.

Empire said it expects for cost synergies to reach about CAD 200 million (USD 196.2 million) over three years by putting together the distribution, information technology and procurement divisions of both companies, The Canadian Press reports.

There has been no comment on whether layoffs are expected.

In addition to traditional domestic rivals like Loblaw, major US retail players like Walmart have been entering the Canadian market as well.

In its last financial year, Safeway had CAD 6.7 billion (USD 6.6 billion) in sales; it runs 1,400 stories in the US. The chain said its proceeds from the sale will be spent on paying down debt and buying back stock, as well as possibly investing in "growth opportunities."

About 60 per cent of Canada Safeway’s properties are located in Vancouver, Calgary, Edmonton and Winnipeg.

The deal has already been approved by the boards of directors of both companies and will be subject to approval by the Competition Bureau, CBC News reports.

Empire expects the transaction to be completed in the fourth-quarter of 2013 and immediately add to adjusted net earnings per share.

By Natalia Real
[email protected]
www.fis.com


 Print


Click to know how to advertise in FIS
MORE NEWS
United Kingdom
Jun 25, 20:20 (GMT + 9):
IN BRIEF - Fish vet appointed Chairperson of Scotland’s animal welfare charity
Germany
Jun 24, 00:00 (GMT + 9):
IN BRIEF - Sticklebacks infected with parasites influence behavior of healthy fish
United States
Jun 24, 00:00 (GMT + 9):
IN BRIEF - Fish wars loom as climate change pushes lobster, cod, and other species north
United States
Jun 24, 00:00 (GMT + 9):
IN BRIEF - Unlikely advocates: Chefs call on Congress to defend sustainable U.S. fisheries
Iceland
Jun 24, 00:00 (GMT + 9):
IN BRIEF - HB Grandi: Changes in management from 1st of October 2018
Norway
Jun 24, 00:00 (GMT + 9):
IN BRIEF - Marine Harvest : Northern Harvest update: No-Action Letter from the Canadian Competition Bureau
South Korea
Jun 23, 03:00 (GMT + 9):
Bluefin tuna farmed in South Korea to reach the market soon
Singapore
Jun 23, 02:50 (GMT + 9):
Aquatech start-up raises USD 8.2 million for research and development
South Africa
Jun 23, 01:50 (GMT + 9):
Green light given to proposed aquaculture project in Saldanha Bay
India
Jun 23, 01:00 (GMT + 9):
New aquaculture complex will help black tiger shrimp industry to bounce back
United Kingdom
Jun 23, 00:50 (GMT + 9):
Young’s Seafood to increase sales to US after deal with Albertsons
United Kingdom
Jun 22, 23:10 (GMT + 9):
Young's Seafood fails to retain Asda significant contract
European Union
Jun 22, 22:50 (GMT + 9):
Spanish tuna fleet offers EC to use responsible fishing standard
United States
Jun 22, 22:30 (GMT + 9):
Maryland to grant USD 375,000 to promote blue crab industry
France
Jun 22, 21:40 (GMT + 9):
Stef expands logistics operations through Express Maree purchase



Lenguaje
FEATURED EVENTS
  
TOP STORIES
Canary Islands one-by-one tuna fishermen become part of the IPNLF Member network
United Kingdom LONDON - Organización de Productores de Túnidos y Pesca Fresca (Optuna No 42), the non-profit tuna producer organisation based on the island of Lanzarote, in the Canary Islands has becom...
Fishermen affected by hurricanes and fishing disasters to be granted USD 200 million
United States The fishermen that had been affected by hurricanes Harvey, Irma, and Maria in 2017 as well as the firms and communities depending on them will be granted USD 200 million in disaster funding appropriated by Congress.
A quarter of seafood sold in Vancouver is mislabelled
Canada A University of British Columbia study determined that 25 per cent of the tested seafood collected in Metro Vancouver grocery stores, restaurants and sushi bars was not what their labels indicated.
Young’s Seafood to increase sales to US after deal with Albertsons
United Kingdom Six months after launching its brand in the US, Young’s Seafood Limited is announcing further growth with increased distribution, new products and extensions to the existing lines.
 
Maruha Nichiro Corporation
Nichirei Corporation -Headquarter-
Pesquera El Golfo S.A.
Ventisqueros - Productos del Mar Ventisqueros S.A
Wärtsilä Corporation -Wartsila Group Headquarter-
ITOCHU Corporation -Headquarter-
BAADER - Nordischer Maschinenbau Rud. Baader GmbH+Co.KG (Head Office)
Inmarsat plc - Global Headquarters
Marks & Spencer
Tesco PLC (Supermarket) - Headquarters
Sea Harvest Corporation (PTY) Ltd. - Group Headquarters
I&J - Irvin & Johnson Holding Company (Pty) Ltd.
Blue Continent Products (Pty) Ltd - (Oceana Group Limited)
Pesquera San Jose S.A.
Nutreco N.V. - Head Office
CNFC China National Fisheries Corporation - Group Headquarters
W. van der Zwan & Zn. B.V.
SMMI - Sunderland Marine Mutual Insurance Co., Ltd. - Headquarters
Icicle Seafoods Inc. -Headquarter-
Starkist Seafood Co. - Headquearters
Trident Seafoods Corp.
American Seafoods Group LLC - Head Office
Marel - Group Headquarters
SalMar ASA - Group Headquarters
Sajo Industries Co., Ltd
Hansung Enterprise Co.,Ltd.
BIM - Irish Sea Fisheries Board (An Bord Iascaigh Mhara)
CEFAS - Centre for Environment, Fisheries & Aquaculture Science
COPEINCA ASA - Corporacion Pesquera Inca S.A.C.
Chun Cheng Fishery Enterprise Pte Ltd.
VASEP - Vietnam Association of Seafood Exporters & Producers
Gomes da Costa
Furuno Electric Co., Ltd. (Headquarters)
NISSUI - Nippon Suisan Kaisha, Ltd. - Group Headquarters
FAO -Food and Agriculture Organization- Fisheries and Aquaculture Department (Headquarter)
Hagoromo Foods Co., Ltd.
Koden Electronics Co., Ltd. (Headquarters)
A.P. Møller - Maersk A/S - Headquarters
BVQI - Bureau Veritas Quality International (Head Office)
UPS - United Parcel Service, Inc. - Headquarters
Hamburg Süd Group - (Headquearters)
Armadora Pereira S.A. - Group Headquarters
NOAA - National Oceanic and Atmospheric Administration (Headquarters)
Omega Protein Corporation -Headquarter-
Marona S.A.
Marine Harvest ASA - Headquarters
Marubeni Europe Plc -UK-
Findus Ltd
Icom Inc. (Headquarter)
WWF Centroamerica
Oceana Group Limited
The David and Lucile Packard Foundation
Ajinomoto Co., Inc. - Headquarters
Friosur S.A. - Headquarters
Cargill, Incorporated - Global Headquarters
Benihana Inc.
Leardini Pescados Ltda
Mitsubishi Corporation Marine Products Depts. D.Team
CJ Corporation  - Group Headquarters
Greenpeace International - The Netherlands | Headquarters
David Suzuki Foundation
Fisheries and Oceans Canada -Communications Branch-
Mitsui & Co.,Ltd - Headquarters
NOREBO Group (former Ocean Trawlers Group)
Natori Co., Ltd.
Carrefour Supermarket - Headquarters
FedEx Corporation -Headquarter-
AKBM - Aker BioMarine ASA
Seafood Choices Alliance -Headquarter-
Austevoll Seafood ASA
Walmart / Wal-Mart Stores, Inc. (Supermarket) -Headquarter-
New Japan Radio Co.Ltd (JRC) -Head Office-
Gulfstream JSC
INVE Group - Head Office
Marine Stewardship Council - MSC Worldwide Headquarters
Royal Dutch Shell plc (Headquarter)
Genki Sushi Co.,Ltd -Headquarter-
Iceland Pelagic ehf
AXA Assistance Argentina S.A.
Caterpillar Inc. - Headquarters
Tiger Brands Limited
Morpol ASA - Group Headquarters
SeaChoice
National Geographic Society
AmazonFresh, LLC - AmazonFresh

Copyright 1995 - 2018 Fish Info & Services Co.Ltd| All Rights Reserved.   DISCLAIMER