By Aaron Gray-Block
AMSTERDAM, Dec 17 (Reuters) - Dutch supermarket group Ahold said on Thursday it would buy 25 stores in the United States from family-owned Ukrop's Super Markets for $140 million, marking a return to growth after years of divestments. Ahold, which owns the Netherlands' biggest supermarket chain Albert Heijn but makes more than half of its sales in the United States, said the deal would expand the firm's footprint in Virginia and be its first U.S. acquisition since September 2006.
'Ukrop's is a great company with a strong heritage in an attractive market. We believe that Giant-Carlisle and Ukrop's will be a strong combination,' Ahold Chief Executive John Rishton said in a statement.
Ahold has for the past few years been downsizing operations as it recovered from an accountancy fraud in February 2003; the series of divestments culminated with the sale of its U.S. Foodservices unit in 2007 to private equity for $7.1 billion.
But Ahold said in November it made several management and organisational changes to its European and U.S. businesses as part of a decisive switch to re-target external growth and more easily integrate acquisitions.
'This is exactly the step we had in mind when we made those changes,' Ahold spokesman Jochem van de Laarschot said.
The deal will be carried out via Ahold's U.S. business Giant-Carlisle and will include 25 stores, inventory, equipment, lease agreements and one new store location.
Closing is expected to take place in the first quarter of 2010 and is subject to customary conditions, Ahold said.
(Editing by Phil Berlowitz) Keywords: AHOLD/ (aaron.gray-block@thomsonreuters.com; +31 20 504 5001; Reuters Messaging: aaron.gray-block.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
AMSTERDAM, Dec 17 (Reuters) - Dutch supermarket group Ahold said on Thursday it would buy 25 stores in the United States from family-owned Ukrop's Super Markets for $140 million, marking a return to growth after years of divestments. Ahold, which owns the Netherlands' biggest supermarket chain Albert Heijn but makes more than half of its sales in the United States, said the deal would expand the firm's footprint in Virginia and be its first U.S. acquisition since September 2006.
'Ukrop's is a great company with a strong heritage in an attractive market. We believe that Giant-Carlisle and Ukrop's will be a strong combination,' Ahold Chief Executive John Rishton said in a statement.
Ahold has for the past few years been downsizing operations as it recovered from an accountancy fraud in February 2003; the series of divestments culminated with the sale of its U.S. Foodservices unit in 2007 to private equity for $7.1 billion.
But Ahold said in November it made several management and organisational changes to its European and U.S. businesses as part of a decisive switch to re-target external growth and more easily integrate acquisitions.
'This is exactly the step we had in mind when we made those changes,' Ahold spokesman Jochem van de Laarschot said.
The deal will be carried out via Ahold's U.S. business Giant-Carlisle and will include 25 stores, inventory, equipment, lease agreements and one new store location.
Closing is expected to take place in the first quarter of 2010 and is subject to customary conditions, Ahold said.
(Editing by Phil Berlowitz) Keywords: AHOLD/ (aaron.gray-block@thomsonreuters.com; +31 20 504 5001; Reuters Messaging: aaron.gray-block.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.