Kroger’s $20 billion attempt to merge with Albertsons Companies Inc., hit a snag in Colorado on Wednesday as Attorney General Phil Weiser announced a lawsuit to block the supermarket chains from combining.
Weiser said the merger of the parent companies of King Soopers/City Market and Safeway would kill competition and hurt consumers.
“Coloradans are concerned about undue consolidation and its harmful impacts on consumers, workers, and suppliers,” said Weiser in a news release. “After 19 town halls across the state, I am convinced that Coloradans think this merger between the two supermarket chains would lead to stores closing, higher prices, fewer jobs, worse customer service, and less resilient supply chains.”
Colorado Attorney General announces lawsuit to block Kroger, Albertsons merger
The merger was announced in October 2022 and if it were to happen, together the stores would control nearly 13% of the grocery market in the United States, the Associated Press reported. In Denver, nearly half of all grocery stores would be under one big company.