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Safeway to Be Bought by Cerberus’s Albertsons

Safeway Inc., the second-largest U.S. grocery-store chain, agreed to be bought by Cerberus Capital Management LP’s Albertsons in a deal valued at about $9.2 billion, creating a bigger competitor to Kroger Co. and big-box rivals.

Safeway investors will receive about $40 a share, consisting of $32.50 apiece in cash, plus stock in its gift-card unit Blackhawk Network Holdings Inc., according to a statement today. Safeway, based in Pleasanton, California, said last month that it was in talks about a sale of the company.