A district court judge blocked a merger between grocery giants Kroger and Albertsons after a three-week-long hearing.
Following the move, Albertsons terminated its $25 billion bid and sued Kroger, alleging a breach of contract that resulted in a failed deal. The grocery chains’ merger was in the works for the past two years and has been opposed by many who said the merger would result in a monopoly on the market and higher grocery prices for consumers.
Albertsons is suing Kroger for billions of dollars in damages along with the $600 million termination fee, according to Reuters. The grocery chain alleges Kroger breached the merger agreement by “repeatedly refusing to divest assets necessary for antitrust approval, ignoring regulators’ feedback, rejecting stronger divestiture buyers and failing to cooperate with Albertsons.”
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