Mergers & Acquisitions

After a 2014 review found inefficiencies in its supply chain and logistics network, Rite Aid Corp. consolidated three distribution centers. Now the company is going in a new direction.

The retailer said it plans to build a 900,000 square foot distribution center in Spartanburg, S.C., its first new DC in 15 years. The new distribution center will employ nearly 600 people after it becomes fully operational and will support the inventory and fulfillment needs of approximately 1,000 Rite Aid stores in the southeastern United States.

As Lowe’s prepares to open its previously announced 25 new stores in Canada during the next three years, speculation is mounting that the retailer could snap up some of Target's locations when the company withdraws from the Canadian market later this year.   But Lowe's is not saying whether three new Lowe's stores set to open later this year in Lethbridge, Saskatoon and Sault Ste. Mari will be located in former Target locations.  

Boise, Idaho -- Albertsons and Safeway announced on Tuesday that they have received clearance from the U.S. Federal Trade Commission for the companies' proposed merger, which was announced on March 6, 2014.


The FTC's clearance follows Albertsons' and Safeway's agreement to a proposed consent order, which includes a commitment to divest 168 stores.



Minneapolis -- Shorenstein Properties LLC and Saks Fifth Avenue Off 5th announced that Saks Fifth Avenue Off 5th has signed a lease for 40,321 sq. ft. in the retail portion of Minneapolis City Center, continuing the fashion retailer’s 25-year presence in downtown Minneapolis. The new store is slated to open April 2016.

“This city has been a strong market for us, and Minneapolis City Center provides us with a vibrant location in which to serve our exceedingly loyal customers,” said Jonathan Greller, president of Outlets, HBC.

Deerfield, Ill. - Walgreens Boots Alliance Inc. has named George Fairweather, formerly group finance director of Alliance Boots, as executive VP and global CFO, effective Feb. 20. Fairweather will succeed Timothy McLevish, who served as Walgreens CFO since August 2014, where he oversaw the merger with Alliance Boots to form Walgreens Boots Alliance and served as the initial global CFO of the combined companies.

New York – Investment fund Trian Fund Management LP has reportedly reduced its stake in Family Dollar Stores Inc. from 7% to a little more than 2%. According to the Wall Street Journal, the fund, headed by activist investor Nelson Peltz, had publicly supported the Family Dollar-Dollar Tree merger.

Triad has an executive on the Family Dollar board. The SEC has confirmed Family Dollar shareholder approval of the Dollar Tree merger.
 

Boston - ShoeBuy, a global online retailer of shoes and clothing, is expanding into footwear manufacturing. The company has acquired a minority stake in Boston Boot Company.

Now, the complete Boston Boot Company product line is available at ShoeBuy.com, bringing the brand to millions of shoppers. Financial details of the deal were not disclosed.

Stockholm, Sweden – Stockholm, Sweden-based EPiServer and Nashua, New Hampshire-based Ektron have merged to create a new global digital experience provider of scale. The combined company is backed by technology-focused private equity investment firm Accel-KKR.

The combined company, which will operate under the EPiServer name and continue to use the Ektron and EPiServer brands, has more than 8,800 customers in 30 countries backed by a network of more than 880 partners.

An extra week of sales and accelerating food inflation helped Delhaize Group, the owner of Food Lion stores, post profits that beat analyst estimates.

The company reported that fourth quarter U.S. revenues were $5.23 billion, a 12% increase from $4.67 billion the same period a year earlier. Same-store sales rose 3.6% in the U.S., but fell 6.9% in Belgium and 2.2% in Southeastern Europe.

Less than a week after getting shareholder approval to sell itself to Dollar Tree Inc., Family Dollar said fewer discounts led to increased December sales.

For the month ended Jan. 3, Family Dollar said its sales increased 3.6% to $1.21 billion from a year earlier. Same-store sales increased 1.2%, compared with a 3% decline last December.