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Grocery giant Albertsons hopes to raise 3 1.3b in upcoming IPO

Grocery giant Albertsons hopes to raise 3 1.3b in upcoming IPO
Barbara C. Arroyo

Amidst the coronavirus-related sales boom, the grocery conglomerate hopes to raise up to 3 1.3 billion when the Albertsons go public.

Albertson said Thursday that some Idaho-based company stockholders will sell 65.8 million shares at an initial public offering of $ 18 to $ 20. The high end of that price range is worth about 6 11.6 billion for Albertson.

Albertsons gives IPO’s underwriters the option to buy another 9.8 million shares, bringing the total revenue of the offering to $ 1.5 billion. Securities filing. The company said it would not receive any proceeds from the IPO, as its stockholders are selling more shares than Albertson.

Albertsons – whose store brands include Safeway, Vans and its eponymous chain – first filed for an IPO in March and now plans to list it under the ticker symbol “ACI” on the New York Stock Exchange. The shares will start trading at the end of next week, According to the Wall Street Journal.

Albertson is owned by billionaire Steve Feinberg’s acquisition firm Cerberus Capital Management. The IPO gives Cerberus a way to invest in the company.

Amid the coronavirus epidemic, Albertson and other grocery retailers have seen their sales explode, which has led consumers to stock up while locked up. Single-store sales rose 47 percent in March and a 21 percent spike in April, the company said.

As The Post reported in March, Albertson announced plans for an IPO as it reached a $ 575 million contract to create a pension plan that would include about 50,000 supermarket workers. The company accepted the deal in its IPO filing, saying it would “record a physical increase” for pension-related liabilities in the first quarter.

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With post wires

About the author

Barbara C. Arroyo

Barbara C. Arroyo

I'm a writer, editor and newsroom leader working at the intersection of tech and media, editorial and product, journalism and management. I am driven to transform our industry for the future, develop and mentor our people, build compassionate and innovative organizational cultures, and put readers and communities at the center of it all. I also have a love of storytelling and creative work, and refuse to pick one or the other.

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