Welcome to FIS   Sponsored By
United States
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
editorial@fis.com
www.fis.com


 Print


Click to know how to advertise in FIS
MORE NEWS
New Zealand
Jul 22, 04:20 (GMT + 9):
IN BRIEF - American Samoa warn against Bumble Bee
United States
Jul 22, 04:20 (GMT + 9):
IN BRIEF - Rare orange lobster caught off Maine coast
Cambodia
Jul 22, 04:20 (GMT + 9):
IN BRIEF - Illegal fishing battle heats up
Worldwide
Jul 22, 04:20 (GMT + 9):
IN BRIEF - Take Our Pledge to Support Global Sustainability of Tuna Fisheries!
Viet Nam
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Over 80 pct of Phu Quoc fish sauce bottles are fake
Philippines
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Bohol's marine ecosystem threatened by overfishing
United States
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Keeping tabs on invasive shrimp in local waters
Pakistan
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Fishermen suffer during ban, get no relief from FCS
United States
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Bristol Bay sockeye surge through tail end of season
Republic of Ireland
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Report on massive loss of farmed salmon is held over by the Minister for the Marine Mr Simon Coveney
Viet Nam
Jul 22, 04:00 (GMT + 9):
IN BRIEF - New Regulations on Rice and Tra Fish Exported to Mexico
India
Jul 22, 04:00 (GMT + 9):
IN BRIEF - Call to Declare State’s Coastal Waters as Fisheries Management Area
United States
Jul 22, 03:40 (GMT + 9):
Squid skin protein can boost bioelectronics
United Kingdom
Jul 22, 03:30 (GMT + 9):
IN BRIEF - Birds Eye poised to join the float frenzy
Canada
Jul 22, 03:30 (GMT + 9):
IN BRIEF - Sea lice software helps battle salmon parasite



Lenguaje
FEATURED EVENTS
  
TOP STORIES
Codex once again discusses biotoxin standards in bivalve molluscs
Chile The Chilean government managed to have the proposed performance criteria for identification methods of marine biotoxins in live and raw bivalve molluscs once again discussed at the general meeting of the Codex Alimentarius, held in Geneva, Switzerland.
German supermarket swaps spiny dogfish for ASC tilapia
Germany REWE, one of the largest German supermarket chains, is increasing its range of ASC labelled seafood with the introduction of its Goldlocke product, which is made from ASC certified tilapia.
Danish farm first to supply ASC-certified freshwater trout
Denmark Danforel’s Christiansminde Freshwater Farm in Denmark has become the first farm certified to the ASC Freshwater Trout Standard for responsible aquaculture.
Obstacles to renew fisheries agreement with Mauritania loom
European Union The renewal of the fisheries agreement between the European Union and Mauritania are seen as very complicated, according to official sources and the fisheries sector itself.
 
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 (Head Office)
Inmarsat plc - Global Headquarters
Marks & Spencer
Tesco PLC (Supermarket) - Headquarters
Pescanova, S.A. - Group Headquarters
Sea Harvest Corporation (PTY) Ltd.
I&J - Irvin & Johnson Limited
Blue Continent Products (Pty) Ltd - (Oceana Group Limited)
Pesquera San Jose S.A.
Nutreco N.V. - Head Office
CNFC International Fisheries Corp. - 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 ehf - 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.
Food Project (Siam) Co., 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-
Grupo Calvo - Luis Calvo Sanz, S.A. (Group 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. -Headquarter-
Friosur S.A. - Headquarters
Cargill, Incorporated - Global Headquarters
Benihana Inc.
Leardini Pescados Ltda
Mitsubishi Corporation Marine Products Depts. D.Team
CJ Corporation  -Holding Headquarter-
Greenpeace International - The Netherlands
David Suzuki Foundation
Fisheries and Oceans Canada -Communications Branch-
Mitsui & Co.,Ltd - Headquarters
Ocean Trawlers Group - Ocean Trawlers HK Ltd.
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
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 - 2014 Fish Info & Services Co.Ltd| All Rights Reserved.   DISCLAIMER