Pleasanton, Calif.-based Safeway Inc. reportedly is considering its strategic options, with Cerberus and other private equity firms “exploring a deal for all or part” of the company, according to Reuters.
A Cerberus affiliate, AB Acquisition LLC, bought Albertsons, Jewel-Osco and several other chains from Supervalu earlier this year. New Albertsons Inc., which now operates Jewel-Osco stores, said this month that it had purchased four Dominick’s stores in Chicago from Safeway as the latter announced it would exit the Chicago market where it operates 72 Dominick’s locations.
The decision to exit the Chicago market by early next year was reached after the end of Safeway’s third quarter. Dominick’s incurred losses before income taxes of $13.7 million in the third quarter and $35.2 million in the first 36 weeks of 2013. More of the company’s third quarter results can be found here.
Additionally, the previously announced deal to sell Safeway’s Canadian operations to Sobeys was approved by Canadian regulators this week.
