Albertsons Sues Kroger Over Failed $25 Billion Merger

The New York Times reports:

The grocery chain Albertsons said on Wednesday that it had backed out of its $25 billion merger with Kroger and sued its rival for failing to adequately push for regulatory approval, after both a federal and state judge blocked the deal on Tuesday.

The deal, which would have been the biggest grocery store merger in U.S. history, faced three separate legal challenges — one filed by the Federal Trade Commission — over concerns that the combined company would reduce competition and raise prices.

Judge Adrienne Nelson of U.S. District Court for the District of Oregon temporarily halted the deal on Tuesday, siding with federal regulators who have argued that the merger would lessen competition at the expense of consumers and workers.

Read the full article.

A federal judge just blocked Kroger’s $24.6B acquisition of Albertsons.

Four corporations control 70% of retail grocery sales in America. Kroger and Albertsons are two of those corporations.

Less competition means more opportunity to price gouge.

This deal was a rotten egg.

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— Robert Reich (@rbreich.bsky.social) December 10, 2024 at 5:44 PM