Kroger to acquire Giant Eagle for $1.65 billion

Key facts

• Kroger will acquire Giant Eagle for $1.65 billion.
• The deal includes $1.25 billion in cash and $400 million in assumed liabilities.
• Kroger CEO Greg Foran stated the acquisition expands reach into attractive adjacent markets.
• Giant Eagle operates 211 supermarkets and 8 pharmacies across Pennsylvania, Ohio, West Virginia, Indiana, and Maryland.
• Kroger and Giant Eagle anticipate divesting a limited number of stores for regulatory clearance.
• The transaction is expected to close in 2027.

Supermarket giant Kroger announced a $1.65 billion deal to acquire Pennsylvania-based grocery chain Giant Eagle, aiming to expand its retail footprint. The transaction includes $1.25 billion in cash and the assumption of approximately $400 million in outstanding liabilities. Kroger CEO Greg Foran stated that Giant Eagle "expands our reach into attractive adjacent markets." Giant Eagle, founded in 1931, operates 211 supermarkets and 8 standalone pharmacies across northern Ohio, western Pennsylvania, West Virginia, Maryland, and Indiana. The company reported revenue of $11.1 billion in fiscal year 2022. The deal comes 18 months after Kroger's $25 billion merger with Albertsons fell apart due to antitrust concerns. To secure regulatory approval for the Giant Eagle acquisition, Kroger and Giant Eagle expect to divest a limited number of stores. The transaction is anticipated to close in 2027.