EMERYVILLE, CA - An acquisition hit the wires yesterday, with announcements that Grocery Outlet (GO) acquired United Grocery Outlet (UGO). The acquisition of this discount grocery retailer expands Grocery Outlet’s presence in Tennessee, North Carolina, Georgia, Alabama, Kentucky, and Virginia.
"United Grocery Outlet is a natural fit given our similar opportunistic buying strategies, customer value propositions, and shared mission of serving our communities. This acquisition provides Grocery Outlet with scale in a new region as well as a platform for future expansion in the Southeast. We are excited to welcome the United Grocery Outlet team into the GO family, and we look forward to working together on the many growth opportunities ahead,” commented RJ Sheedy, President and Chief Executive Officer of Grocery Outlet.
According to a press release, this will add 40 stores and a distribution center to Grocery Outlet’s footprint. The acquisition is anticipated to close early in the second quarter, subject to customary closing conditions.
In addition to the newly acquired UGO stores, Grocery Outlet plans to open 15 to 20 stores in existing markets in 2024, for a total of 55 to 60 net new stores this year.
"We are thrilled to become part of Grocery Outlet and to have found a partner who shares our mission and business strategy. Together, we look forward to growing the positive impact on our community," said Lisa Bryson, CEO of United Grocery Outlet.
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