Empire buys 51 per cent stake in specialty grocer Longo’s for $357 million
Posted March 16, 2021 4:02 am.
Last Updated March 16, 2021 4:17 am.
This article is more than 5 years old.
STELLARTON, N.S. — Empire Company Ltd. says it has signed a deal to buy a 51 per cent stake in specialty grocery store chain Longo’s and its Grocery Gateway e-commerce business for $357 million.
The parent company of Sobeys says the deal adds two high-quality banners to its business and helps it grow in Ontario.
Under the deal, Longo’s and Grocery Gateway will continue to be led by CEO Anthony Longo.
However, Empire says Longo’s will be able to benefit from its infrastructure and capabilities, in areas such as sourcing, logistics and real estate.
Longo’s has 36 locations in the Greater Toronto Area, while Grocery Gateway serves 70,000 customers.
The deal, which is subject to customary closing conditions, is expected to close in the first quarter of Empire’s 2022 financial year.
This report by The Canadian Press was first published March 16, 2021.
Companies in this story: (TSX:EMP.A)
The Canadian Press
