Since Kroger and Albertsons first announced their plans to merge the two powerful grocery chains, Deli Market News has been closely monitoring the deal for new updates. In the latest, the two retail companies announced a temporary pause to the proposed $25 billion merger.
According to reports from FOX Business, Kroger and Albertsons agreed to a temporary injunction that puts the merger on hold while a lawsuit filed by Colorado plays out; the move negates the need for a preliminary injunction hearing that had been scheduled to occur next month.
A Kroger spokesperson speaking with FOX Business issued the following on behalf of the two companies.
“Today's decision is welcome news as it eliminates the need for a preliminary injunction hearing in Colorado that was previously scheduled to begin in August,” the statement read. “We look forward to defending in court how the combination of Kroger and Albertsons will provide meaningful, measurable benefits, including lower prices, and more choices for families across the country, and more opportunities for stable, well-paying union jobs.”
Colorado Attorney General Phil Weiser also issued a statement regarding the decision.
“The trial is set to begin on September 30 and my office looks forward to making the case that this merger will eliminate competition and impact food prices, jobs, and consumer choice,” Weiser commented.
As more updates on this proposed merger hit the newswire, DMN will be sure to relay the latest insights.
