SpartanNash stock soars after C&S acquisition announcement

Published 23/06/2025, 13:44
© Reuters.

Investing.com -- SpartanNash Company (NASDAQ:SPTN) stock surged 49% following the announcement that C&S Wholesale Grocers will acquire the grocery distributor for $26.90 per share in cash, representing a total consideration of $1.77 billion including assumed net debt.

The all-cash transaction represents a substantial 52.5% premium over SpartanNash’s closing price of $17.64 on June 20, 2025, and a 42% premium to its 30-day volume-weighted average stock price. The deal has been unanimously approved by the boards of directors of both companies and is expected to close in late 2025, subject to SpartanNash shareholder approval and regulatory clearances.

The merger will combine two major grocery distribution networks, creating a company that will operate nearly 60 distribution centers across the United States and serve approximately 10,000 independent retail locations, along with more than 200 corporate-run grocery stores.

"This is an exciting opportunity for our team members, partners and, notably, our customers," said C&S Chief Executive Officer Eric Winn. "Together, we are uniting some of the most advanced capabilities and boldest innovations in the distribution market to better serve communities across the nation."

SpartanNash President and CEO Tony Sarsam noted that the transaction "creates the necessary scale, efficiency and purchasing power needed to enable independent retailers to compete more effectively with larger big box chains."

The companies stated that the increased scale and efficiency are expected to result in lower prices for grocery shoppers, helping to make food more affordable for millions of Americans in an industry with traditionally thin profit margins.

Wells Fargo (NYSE:WFC) has provided a debt financing commitment for the transaction. SpartanNash’s previously announced quarterly cash dividend of $0.22 per share will be paid on June 30, 2025, to shareholders of record as of June 13, 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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