Supervalu files to spin off Save-A-Lot

Supervalu Inc. on Thursday moved closer to spinning off its Save-A-Lot division as a public company, filing a plan with the Securities and Exchange Commission.



Under the plan, Supervalu shareholders will own at least 80.1% of the spun-off company. The stock would be publicly traded under an as-of-yet unidentified ticker. Supervalu did not set a deadline for taking Save-A-Lot public.



“We believe that separating Save-A-Lot from Supervalu so that it can operate as an independent, publicly traded company is in the best interests of both Supervalu and Save-A-Lot,” stated Sam Duncan, CEO, Supervalu, in a letter to shareholders. “As two distinct publicly traded companies, each of Supervalu and Save-A-Lot will be better positioned to focus on its respective businesses, customers and strategic priorities and to capitalize on growth opportunities.”



Supervalu announced it was exploring a spin-off of Save-A-Lot in July. In December, supermarket veteran Eric Claus was tapped as the new CEO of the discount grocer.



Save-A-Lot had 441 company-owned stores and 901 licensee-operated stores as of Sept. 12, 2015.