SuperValu To Sell, Lease Back Eight Distribution Centres
US supermarket operator SuperValu, Inc. has said that it plans to sell eight of its distribution centres to a buyer, for about $483 million.
The company said that after it closes the sale, it will enter into lease agreements for each of the facilities for an initial term of 20 years, with renewal options.
“The completion of these sale-leaseback transactions is another positive step in the continued transformation of our business,” said Mark Gross, SuperValu’s president and chief executive.
“By unlocking significant value in a portion of our real-estate portfolio, we’re able to meaningfully pay down debt, improve our balance sheet, and deliver value to our shareholders. I appreciate the hard work and dedication from our team as we continue to move quickly on a variety of initiatives we believe position us for future success,” Gross added.
Earlier this month, Reuters, citing a source, reported that SuperValu was working with investment banks Lazard Ltd and Barclays Plc for a potential sale of the company.