Kroger and Albertsons delay closing date for $25 billion merger
Supermarket giants Kroger and Albertsons on Monday pushed back the closing of their proposed megamerger, which originally was set for early 2024.
The big picture: This is yet another case of big corporations misreading the regulatory tea leaves, on both the federal and state levels.
- The Federal Trade Commission isn't expected to decide until next month whether to challenge the $25 billion deal, as scooped last week by Axios Pro. If it does file suit, even August could be aggressive.
- Washington state's attorney general last week sued to block the merger, with peers continuing to review the situation.
- Kroger and Albertsons said in a statement that they "remain in active and ongoing dialogue" with the FTC and state AGs.
The bottom line: The companies' revised timeline is "in the first half of Kroger's fiscal 2024," which ends on Aug. 12.