GRAND RAPIDS, Mich. -- Spartan Stores Inc. has entered into a purchase agreement to acquire 20 retail grocery stores, two fuel centers and three convenience stores from G&R Felpausch Co., a privately held Hastings, Mich.-based retail grocery operator and current distribution customer.
Completion of the transaction is subject to certain conditions including, among others, satisfactory conclusion of the due diligence process. The company anticipates the transaction closing late in its fiscal 2008 first quarter.
Commenting on [image-nocss] the transaction, Spartan Stores' Chairman, President and CEO Craig C. Sturken said, We are very pleased to bring Felpausch, another well-respected retail grocery operator, into our family. Sustained profitable growth through prudent retail acquisitions is a component of our ongoing and core business strategy. This transaction follows our successful acquisition of D&W stores last year. The Felpausch stores serve many communities where we currently have no retail presence. They also provide an outstanding geographic fit with our current retail store footprint, while providing expansion into central Michigan.
Mark Feldpausch, chairman and CEO of Felpausch Food Centers, said, This transaction strengthens the market position of a leading conventional grocery store operator and will ensure that customers in south and central Michigan continue to have a choice to shop at one of the best conventional retail supermarket chains in the local market.
Grand Rapids, Mich.-based Spartan Stores distributes more than 40,000 private-label and national brand products to more than 350 independent grocery stores in Michigan, Indiana and Ohio. Spartan Stores also owns and operates 68 retail supermarkets and 19 deep-discount food and drug stores in Michigan and Ohio, including Family Fare Supermarkets, Glen's Markets, D&W Fresh Markets and The Pharm; some Family Fare, Glen's and D&W locations offer fuel through Quick Stop c-stores.
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