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German discounter Aldi has purchased 400 supermarkets of Winn-Dixie and Harvey’s Supermarket in five states, securing a huge jump forward in the south-eastern United States.
Growth momentum
Aldi was able to strike the deal, as former owner Southeastern Grocers is divesting a lot of its assets, Grocery Dive reports. The supermarkets are located in Alabama, Florida, Georgia, Louisiana and Mississippi.
CEO Jason Hart of Aldi USA said the time was right for this major step forwards, and helps towards reaching its goal to add 120 new stores nationwide this year. By the end of the year, the retailer is targeting a total of more than 2,400 stores in the US.
Not all Aldi
The amount that Aldi will pay for the supermarkets, is not disclosed. The German discounter does report that it has invested around 2.5 billion dollars in the region since its arrival in the mid-1990s. Most recently, Aldi opened its 26th regional headquarters and distribution centre in Alabama, on top of plans to open twenty new branches there by the end of the year.
Not all Winn-Dixie and Harvey’s Supermarket shops will reopen under the Aldi banner: Hart is still evaluating which locations will be converted to the Aldi format. The intention is that “the shops we do not convert will continue to operate as Winn-Dixie and Harveys Supermarket stores”. The transaction is expected to close in the first half of 2024.
