Chandler, Arizona-based Bashas’ Family of Stores says it has signed a definitive agreement to be acquired by Raley’s Holding Co., an independent regional grocer based in California.
In a joint video presentation, Edward “Trey” Basha, president and CEO of Bashas’, and Keith Knopf, president and CEO of Raley’s Holding Co., informed Bashas’ employees that its store banners, employment and operations across Arizona will continue without change or interruption.
Trey Basha, who is also the grandson of the company’s co-founder, said the sale represents the beginning of Bashas’ “next, exciting chapter as a fully formed operating company within the larger Raley’s enterprise. In Raley’s we will have a partner who will ensure we continue delivering exceptional customer and member experiences at a time when regional grocery competition has never been tougher – while staying true to the values that have shaped our history over 90 years.
“Customers, members, and local Arizona communities will also benefit from the seamless alignment of culture and values that we share with Raley’s. While the Basha family will no longer have ownership roles, we look forward to seeing the business thrive for generations to come,” he said.
“Today marks an important milestone in the ongoing legacy of two great companies. We are humbled to assume stewardship of the Bashas’ organization. Raley’s history of respecting the legacy of the brands we acquire assures continuity for Bashas’ customers, employees and business partners and, on behalf of our 13,000 employees, I want to welcome Bashas’ team members to our organization,” said Knopf. “The Bashas’ company is strong and well-positioned in the market. We are confident that with our robust digital capabilities and combined purchasing power, we can further enhance the overall customer experience.”
Highlights of the agreement:
- Bashas’ will continue to serve customers across Arizona and New Mexico and its Tribal Nation Partners, including the Navajo Nation, White Mountain Apache, San Carlos Apache, and Tohono O’odham;
- Bashas’ will be a fully formed operating company within the Raley’s enterprise and will maintain its corporate headquarters, stores and distribution center in Arizona; and
- The transaction will protect the store banners customers know and love with no changes to local store leadership.
There are no planned changes to employee roles, compensation or benefits as a result of the transaction.
In this transaction, The Food Partners served as strategic and financial advisor to Raley’s, and Snell & Wilmer served as legal counsel to Raley’s. Citi served as a strategic and financial advisor, and Burch & Cracchiolo, P.A. served as lead legal counsel for Bashas’.
The transaction is expected to close by the end of 2021.
Bashas’ Family of Stores operates Food City, AJ’s Fine Foods, Eddie’s Country Store and both Bashas’ and Bashas’ Diné supermarkets. The Arizona-based company was founded by brothers Ike and Eddie Bashas Sr. With more than 100 grocery stores, it is one of the largest employers in the state and one of the Best Places to Work in Arizona.
Raley’s Holding Co. is a private, family-owned grocery company founded in 1935 and headquartered in West Sacramento, California. Raley’s operates 124 stores in northern California and Nevada across four banners: Raley’s, Bel Air, Nob Hill Foods and Raley’s O-N-E Market.
In addition, Raley’s Holding Co. includes closely associated Apium Logistics as well as a digital subscription, technology company. The organization has approximately 13,000 employees across California and Nevada. The company operates its own non-profit, Raley’s Food for Families, which has provided millions of meals to families in need. Find out more about Raley’s’ community investments at purpose.raleys.com.