The post Albertsons Jacks up Dividend as Stock Soars Since Failed Merger appeared on BitcoinEthereumNews.com.

Key points Albertsons stock is up some 13% over the past month. It raised its dividend for the first time since 2021. Is Albertsons stock a buy after failed merger with Kroger? The mega deal with grocery store chain Kroger fell apart in December. Since its failed mega merger with grocery store chain rival Kroger (NYSE: KR), Albertsons (NYSE: ACI) stock has been on a tear. Albertsons stock has jumped about 13% since it merger agreement with Kroger fell apart on December 11. The grocery store chain also raised its quarterly dividend for the first time in four years, rewarding shareholders as it heads into a better macro-environment. It has been a difficult past few years for grocery stores, hurt by high inflation and supply chain disruptions. But with lower inflation and investments in improving its supply chain, Albertsons beaten down stock is poised for a turnaround. Albertsons sues Kroger The long-planned merger between the nation’s two leading grocery store chains, not including big box stores, would have created a behemoth that would rival Walmart as the largest grocer. The Federal Trade Commission acknowledged that, which is why it moved to block the merger in December. The FTC filed a preliminary injunction to stop the $24.6 billion deal, saying it would be bad for consumers by taking a major competitor off the market. The next day, Albertsons terminated its merger agreement. CEO Vivek Sankaran said that in light of the FTC’s action, “we have made the difficult decision to terminate the merger agreement. We are deeply disappointed in the courts’ decisions.” But then the company turned around and sued Kroger for breach of the merger agreement alleging that Kroger adopted a “willfully deficient approach to securing regulatory clearance.” “Rather than fulfill its contractual obligations to ensure that the merger succeeded,…

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Filed under: News - @ January 14, 2025 6:09 am