CINCINNATI, Oh. — Kroger is buying Giant Eagle.
Kroger, the Cincinnati-based company, announced plans Wednesday to acquire Pittsburgh-based Giant Eagle for $1.65 billion. The purchase terms are $1.25 billion in cash and Kroger will assume $400 million in liabilities.
Founded in 1931, Giant Eagle, Inc. operates more than 200 stores throughout western Pennsylvania, north central Ohio, northern West Virginia, Maryland, and Indiana. The grocery chain operates two stores in West Virgina, both in Morgantown.
Kroger is a food and pharmacy retailer with approximately $9 billion in annual sales and 197 supermarkets and 11 standalone pharmacies across northern Ohio, western Pennsylvania, West Virginia, Maryland and Indiana.
“Giant Eagle is a well-run, high-quality regional grocer with a strong reputation for fresh products, pharmacy, private label and customer loyalty,” Kroger Chief Executive Officer Greg Foran said. “We evaluated the opportunity carefully, and the strategic fit is clear. Giant Eagle expands our reach into attractive adjacent markets, allowing us to do what we do best: Run outstanding stores, deliver fresh foods and convenient meal solutions at affordable prices, and take care of our customers and associates every single day.”
“Today’s (Wednesday) announcement marks an exciting next chapter for our Team Members, customers, vendors and community partners,” Giant Eagle Chief Executive Officer Bill Artman said. “Together with Kroger, we will be well-positioned to advance our strategy and deliver better quality and service, better everyday value, and a better shopping experience for our customers, while providing greater growth opportunities for our dedicated Team Members.”
The Giant Eagle customer base and loyalty program, pharmacy business and private label offerings will grow opportunities and aid expansion of the Kroger Zero Hunger, Zero Waste impact plan to new communities.
The deal is expected to close in 2027, subject to regulatory approval.
In late 2024, the Kroger merger with Alberson’s was rejected following a successful lawsuit by the Federal Trade Commission (FTC).