The Belgian and Dutch companies that operate Food Lion and Giant stores in the United States plan to merge. The merger had been rumored for months.
The $29 billion stock merger of Ahold (Giant) and Delhaize (Food Lion) will give the combined company more than 6,500 stores with 375,000 associates as well as 50 million customers.
CEOs of the two companies cited similar corporate cultures and cost savings as strong arguments for the deal.
Ahold’s stores, which include Giant, Martin’s and Stop and Shop are located on the East Coast, while the smaller Food Lion markets are clustered in the Mid-Atlantic and South. The two companies get about half of their sales from US holdings.