Martin's parent company, SpartanNash, sold to wholesale grocer for $1.77B
SOUTH BEND, Ind. -- SpartanNash, the company that owns local Michiana grocer Martin's, announced on Monday that they have entered into a merger agreement with C&S Wholesale Grocers.
C&S will acquire SpartanNash for a purchase price of $26.90 per share of SpartanNash common stock in cash, totaling roughly $1.77 billion, including assumed net debt/
The companies say that the price of the merger represents a 52.5 percent premium over SpartanNash’s closing price on June 20 of this year which was $17.64, and a premium of 42 percent to its 30-day volume-weighted average stock price as of June 20.
“This is an exciting opportunity for our team members, partners and, notably, our customers. C&S and SpartanNash share many of the same values, including a strong emphasis on customers, teamwork and our communities. Together, we are uniting some of the most advanced capabilities and boldest innovations in the distribution market to better serve communities across the nation," said C&S Chief Executive Officer Eric Winn.
"The combination of our two companies’ capabilities puts our collective customers’ stores and our own retail stores at the center of the plate, supporting their ability to thrive in a highly dynamic and competitive environment. Our customers need us more than ever, and we are building a sustainable platform for our team members to be able to support them long into the future."
The transaction has been unanimously approved by the boards of directors of both companies.
“We are energized by the opportunities this combination provides for our Associates and customers. With our organizational values in close alignment, there will be exciting new career opportunities for our people and a continued commitment to a People First culture," said SpartanNash President and CEO Tony Sarsam.
"For our customers, this transaction creates the necessary scale, efficiency and purchasing power needed to enable independent retailers to compete more effectively with larger big box chains. Neighborhood grocers are essential pillars of our communities that we want to preserve and strengthen. A thriving hometown grocery store supports local farmers, bolsters the local economy, and enhances the overall health and well-being of the community."
It is unclear, at this time, what type of impact, if any, the merger will have on the local Martin's stores.