Shaw's Parent Company Sells Supermarket Chain
Name change could be next up for grocery store in Waverley Square.
Minneapolis, Minnesota-based Supervalu, the parent company of Shaw’s Supermarkets which has a store in Waverley Square off Trapelo Road, sold the New England regional supermarket along with four other grocery chains to an investor group led by private-equity firm Cerberus Capital Management and included a real estate management operation.
The price tag for the chains was only $100 million in cash for the stores, but the new group will also assume $3.2 billion in existing debt.
In a press release on the deal, there was no word on possible store closings, a change in the store's name or staff reductions.
But the Boston Herald reported today, Fridday, Jan. 11, Albertson's will take over all the New England Shaw's and Star Markets. Albertson's is a well-known supermarket brand name in the West and parts of the northern Midwest.
The Herald also reports that the deal has industry analysts guessing that some of the Shaw’s and Star Markets could be sold off again to others after the deal is done.
Supervalu has been struggling for years against growing competition from department stores such at Target and "big box" stores including Costco and Wal-mart.
According to its website, Cerberus Capital "has been dedicated to distressed investing since its inception. The (f)irm has [more than] US $20 billion under management ... ."
Located in New York City, Cereberus Capital also owns Steward Health Care, which runs the Nashoba Valley Medical Center in Ayer, St. Elizabeth’s Medical Center in Brighton and other health care facilities throughout Massachusetts.