Sobeys Forced To Sell 23 Supermarkets To Gain Competition Bureau Approval For Takeover of Safeway

On October 22, 2013 Sobeys was issued an order by Canada's Competition Bureau :  Sell 23 supermarkets in Western

Canada or the $5.8 billion deal with Safeway Canada will not be approved.

The competition bureau's decision to allow the takeover only after Sobeys divests itself of 23 stores should come as no surprise to industry observers.  Sobeys previously stated that competition from other grocers is the main source of disinflation within the grocery industry.  Prior to the deal, Alberta was a three way race between Loblaws (84 stores) Safeway (85) and Sobeys (90 grocery / 35 lcbo).  After the deal, in Edmonton and Winnipeg Sobeys will control up to three times as many stores as competitors Loblaws, Overwaitea. 

Of the stores deemed 'problematic' 5 are in Winnipeg, 4 are in Edmonton, 2 are in Victoria.  By province: Alberta 11, Manitoba 5, British Columbia 4, Saskatchewan 2.

Only 10 Of The Locations Are Safeway

Seven are already under the Sobeys banner (all in Alberta), one is Thrifty Foods (BC), one is Price Chopper (Winnipeg), one is IGA (Edmonton).

Empire Theatres Deal To Be Completed October 24, 2013

24 of the 26 theatres being acquired by Cineplex Odeon are in Atlantic Canada (deal worth $200 million), the other 2 are in Ontario - total of 218 movie screens added to Cineplex's 1,454.  Tuesday October 22 was the last day the theaters operated under the Empire banner.

mergers and acquisitions, food prices in Canada,

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