New York -- Bi-Lo Holdings and Delhaize Group have received approval from the Federal Trade Commission to proceed with the transaction in which Bi-Lo Holdings will acquire substantially all of the stores in Delhaize’s Sweetbay, Harveys and Reid’s supermarket chains. As part of the deal, Bi-Lo agreed to divest 12 Delhaize America stores in Florida, Georgia, and South Carolina, and Delhaize Group agreed to retain two stores that were initially part of the deal.
“We have been preparing for the integration of the Sweetbay, Harveys and Reid’s banners and store associates for many months and are delighted to now move forward and welcome them to the Bi-Lo Holdings family,” said Randall Onstead, president and CEO of Bi-Lo Holdings.
Bi-Lo Holdings also announced its decision to close eight of the acquired Delhaize America and five Bi-Lo Holdings stores due to close geographic proximity.
“Given the number of stores we are acquiring, we anticipated that we may be asked by the FTC to divest some stores to close the deal. In addition, with the close proximity of some of the Bi-Lo Holdings and Delhaize stores, we also knew that we would have to close a few stores as part of the acquisition,” Onstead said.
Bi-Lo Holdings initially acquired the Sweetbay, Harveys and Reid's chains from Delhaize for $265 million in May 2013. The deal at the time included 72 Sweetbay stores, leases for 10 prior Sweetbay locations, 72 Harveys stores and 11 Reid's stores, for a total of 165 stores throughout the Southeast.