Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Spartan and Nash Finch Announce Antitrust Clearance

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

The waiting period for Spartan Stores'  (NASDAQ: SPTN  )  merger with Nash Finch  (UNKNOWN: NAFC.DL  )  under the Hart-Scott-Rodino Antitrust Improvements Act, or HSR, expired on September 3, the companies jointly announced today, allowing the transaction to move to the next phase.

On July 22, regional grocery distributor and retailer Spartan announced its intention to merge with food distribution specialist Nash in an all-stock deal valued at approximately $1.3 billion, including existing net debt at each company. 

Under the terms of the transaction, which both boards of directors approved, Nash Finch shareholders will receive a fixed ratio of 1.20 shares of Spartan Stores stock for each share of Nash Finch common stock they own. Upon closing, which is expected by the end of 2013, Spartan Stores shareholders will own approximately 57.7% of the equity of the combined company and Nash Finch shareholders will own approximately 42.3%.

The combination will create a  grocery wholesale, retail, and military commissary and exchange channel operator with pro forma annual sales of approximately $7.5 billion. Together, Spartan Stores and Nash Finch will have 22 distribution centers covering 37 states, 188 retail stores, and will be the leading distributor to military commissaries and exchanges in the United States.

The HSR requires merging companies to file detailed reports with the FTC and the Justice Department to see whether the combination violates antitrust laws. There's a 30-day waiting period (15 days for all-cash transactions) before the merger can be completed. The companies can request the waiting period be terminated early, which will be granted if both antitrust agencies complete their reviews and determine that no enforcement action is necessary.

Based in Grand Rapids, Mich., Spartan Stores is the nation's ninth-largest grocery distributor. Minneapolis, Minn.-based Nash Finch is the largest food distributor serving military commissaries and exchanges in the U.S.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2620711, ~/Articles/ArticleHandler.aspx, 7/24/2016 11:10:59 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 1 day ago Sponsored by:
DOW 18,570.85 53.62 0.29%
S&P 500 2,175.03 9.86 0.46%
NASD 5,100.16 26.26 0.52%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
NAFC.DL $0.00 Down +0.00 +0.00%
Nash-Finch Company CAPS Rating: *
SPTN $31.03 Up +0.21 +0.68%
Spartan Stores CAPS Rating: No stars