Albertson is giving up on its merger with Kroger, a day after it was rejected by two courts, and is suing the supermarket chain for not doing enough to secure regulatory approval for the $24.6 billion deal set
Albertsons is abandoning its merger with Kroger a day after it was rejected by two courts, and is suing the supermarket chain for not doing enough to gain regulatory approval for the $24.6 billion deal.
U.S. District Court Judge Adrienne Nelson issued a preliminary injunction Tuesday blocking the merger after ruling three-week hearing in Portland, Oregon. Then Seattle Judge Marshall Ferguson issued a permanent injunction banning the merger in Washington after concluding it would reduce competition in the state and violate Washington’s consumer protection laws.
On Wednesday, Albertsons said Kroger failed to make “best efforts” and take “all actions” to secure regulatory approval for the agreed merger transaction.
Shares of Albertsons rose more than 2% before the market opened, while shares of Kroger fell slightly.