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
Italy
Mar 28, 06:00 (GMT + 9):
IN BRIEF - Friend of the Sea and the Italian Aquaculture Producers Association sign collaboration
Faroe Islands
Mar 28, 02:50 (GMT + 9):
Bakkafrost confirms pathogenic ISA-virus in farming centre
New Zealand
Mar 28, 02:40 (GMT + 9):
China and NZ sign cooperation deals on Pacific fisheries and development
India
Mar 28, 01:50 (GMT + 9):
US declines Indian and Thai shrimp antidumping duties
Chile
Mar 28, 01:50 (GMT + 9):
USD 13.5 million allocated for Patagonian toothfish farming
United States
Mar 28, 01:00 (GMT + 9):
IN BRIEF - Washington Supreme Court allows for punitive damages in unseaworthiness case
European Union
Mar 28, 01:00 (GMT + 9):
IN BRIEF - Brexit puts EU fisheries into troubled waters
Guyana
Mar 28, 01:00 (GMT + 9):
IN BRIEF - Guyana prevents cartons of tuna from entering country
Denmark
Mar 28, 01:00 (GMT + 9):
Danish sandeel, Norway pout and sprat fishery achieves MSC certification
Norway
Mar 28, 00:00 (GMT + 9):
IN BRIEF - China Slinging Salmon on the Internet Lures Norway Seafood Fund
Philippines
Mar 28, 00:00 (GMT + 9):
IN BRIEF - BFAR gives 120,000 tilapia fingerlings to Catanduanes
India
Mar 28, 00:00 (GMT + 9):
IN BRIEF - Readying a skilled task force of aquaculture farmers
New Zealand
Mar 28, 00:00 (GMT + 9):
IN BRIEF - Stewart Island chosen for possible new aquaculture project
United Kingdom
Mar 27, 23:40 (GMT + 9):
Scotland publishes guidelines to boost seaweed farming industry
Peru
Mar 27, 23:20 (GMT + 9):
'Coastal niño' expected to gradually weaken in three weeks



Lenguaje
FEATURED EVENTS
  
TOP STORIES
ISSF's call for sustainable tuna fisheries management receives wide global support
Worldwide A global group of commercial and non-profit organizations has responded to the International Seafood Sustainability Foundation’s request for immediate Regional Fishing Management Organization action on top priorities for sustainable tuna fisheries.
Shellfish industry hit by norovirus outbreak in BC oysters
Canada The outbreak of a mysterious norovirus that made hundreds of Canadians sick led to the closure of seven coastal oyster farms in British Columbia.
Tilapia sausages reach Oxaca market
Mexico To directly benefit the regional productive sector, through the University of Papaloapan, the State University System of Oaxaca supported a project that involves tilapia conservation techniques to obtain derived products.
'Coastal Niño' favours presence of mackerel, skipjack and bonito
Peru The climatic phenomenon known as the "coastal Niño" has favoured the greatest availability of some hydrobiological species of warm water, such as mackerel, skipjack, bonito, among others, according to the Ministry of Production.
 
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
Nueva Pescanova, S.L. - Group Headquarters
Sea Harvest Corporation (PTY) Ltd.
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.
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-
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  -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 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 - 2017 Fish Info & Services Co.Ltd| All Rights Reserved.   DISCLAIMER