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Netherlands/US: Ahold, Delhaize in merger discussions

By  |  May 11, 2015

The talks between Dutch company Royal Ahold NV, which owns Quincy-based Stop & Shop, and Belgian firm Delhaize Group, which owns Hannaford Brothers were first reported by Belgian newspapers De Tijd and L’Echo and then by Bloomberg on Monday.

The combination of Ahold and Delhaize would control about 4 percent of the American grocery industry, Bloomberg reported. The combined company would create the third-largest U.S. grocer with about $40 billion in annual sales behind Walmart and Kroger.

“Ultimately, both groups would benefit from a transformational deal in order to improve their structural prospects, and that is why we expect the likelihood of a combination to be high,” James Grzinic said in a note.

 

Full content: Bloomberg

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