Aldi Sells Southeastern Grocers Banners
Aldi has sold Southeastern Grocers and its Winn-Dixie and Harveys Supermarket banners to a consortium of private investors.
The sale — the terms of which were not disclosed — was spearheaded by Anthony Hucker, current chair, CEO and president of Southeastern Grocers (SEG), and SEG’s longtime supply chain partner, C&S Wholesale Grocers.
The transaction comes less than a year after the discounter bought Southeastern Grocers.
The agreement includes the acquisition of approximately 170 SEG grocery stores operating under the Winn-Dixie and Harveys Supermarket banners in Alabama, Georgia, Louisiana, Mississippi and Florida as well as the existing Winn-Dixie liquor store business.
Aldi previously stated it plans to convert approximately 220 Winn-Dixie and Harveys Supermarket stores over to the Aldi format. That conversion began in March 2024, and the discounter intends to proceed as planned, with the job projected to be completed in 2027.
"Our commitment to thoughtful, purpose-driven growth remains strong and propels us forward with renewed momentum," Hucker said in a news release. "As we reinvest in the store fleet, we are inspired by listening loudly to the voices of our customers, to elevate and revolutionize our customer experience and store offerings, so that each step we take will reflect our dedication to our people and our communities."
"This consortium continues C&S and SEG's longstanding partnership," Eric Winn, CEO of C&S Wholesale Grocers, said in the release. "For 20 years, we have worked together to feed our communities. C&S has remained steadfast in our commitment to our transformation strategy, which includes being an industry-leading grocery wholesaler and retailer. Our unrelenting focus on long-term growth continues."
C&S initially was to buy approximately 600 supermarkets from Kroger and Albertsons in conjunction with a planned merger between the two grocery giants, which was first announced in 2022. After a federal judge blocked the merger last December, Albertsons sued Kroger for breach of contract.
Aldi Growth Plans
Aldi also revealed plans to open more than 225 new store locations this year, as part of the next phase of its five-year national growth strategy. That is the most stores it has ever opened in one year, according to the retailer. The new stores are opening both through organic growth as well as converting select Winn-Dixie and Harveys Supermarket stores to the Aldi format.
Approximately 100 converted locations will reopen as Aldi stores by year's end. The move is part of Aldi's strategy to create a focused conversion portfolio in the Southeast as it expands nationwide. Part of Aldi's growth is to grow its Northeast and Midwest footprints and to open more stores in Southern California and Arizona as well as enter new communities such as Las Vegas. In 2024, Aldi opened nearly 120 stores, bringing its total to more than 2,400 and solidifying its position as the third-largest grocery chain by store count in the U.S.
Aldi and SEG leadership have stated they will continue working to ensure a smooth transition of store conversions. SEG will continue to operate the remaining stores identified for conversion in the normal course of business, up to and until each respective store is closed for conversion.
