Bloomberg: Supervalu Inching Closer to Cerberus Sale


Thursday, Jan. 10, could be another historic day for Albertsons, the grocery chain started by Treasure Valley businessman Joe Albertson in 1939. Albertson opened his first store at 16th and State streets in Boise before expanding across Idaho and other Western states.

Supervalu acquired the Albertsons chain in 2006 and promised to have a "significant presence" in the Treasure Valley. But those promises were followed by a series of layoffs, poor financial health and the firing of CEO Craig Herkert in July, 2012.

Supervalu employs approximately 2,300 workers at 22 Albertsons stores in Idaho, in addition to approximately 1,000 people at its Boise headquarters.

In November, Cerberus Capital Management, a private equity firm in New York City, reportedly began looking to line up capital to acquire Supervalu.

Bloomberg News is reporting that Cerberus and Supervalu "are seeking to announce an agreement on Jan. 10, according to one person," but cautioned that the deal has yet to be finalized and "could still fall apart."

Shares of Supervalu stock on the New York Stock Exchange dropped 9 cents on Tuesday, falling to $2.76 per share at the closing bell. Supervalu stock traded as high as $35 per share in May 2008.