Kroger, one of the largest grocery store chains in the United States, announced on February 2, 2019 that it had acquired Ralphs, one of the largest grocery store chains in the United States. Kroger’s acquisition of Ralphs is a strategic move for the company as it seeks to expand its presence in the western United States.
The acquisition is estimated to be worth $3.3 billion and will create a company with a total of 1,786 stores.
Kroger plans to keep Ralphs’ current 1,000 locations and integrate the brands into its own stores. The company also plans to create a new division, Kroger Western, which will focus on expanding its presence in the western United States.
The acquisition is expected to improve Kroger’s competitive position in the western United States. Ralphs is the largest grocery store chain in the western United States and Kroger plans to compete with such brands as Walmart and Costco.
The acquisition is also expected to boost Kroger’s overall profits.
The acquisition is likely to face some resistance from competition, but it is expected to be approved by the Ralphs shareholders.
