The Kroger, Albertsons merger was postponed on Thursday by a Colorado judge, who granted a preliminary injunction for a hearing in August.
The proposed $24.6 billion merger has been challenged in Colorado by the state attorney general. That’s in addition to a multi-state lawsuit led by the FTC and a separate lawsuit in Washington state.
Judge Andrew J. Luxen approved the preliminary injunction, which delays a hearing in Colorado scheduled for Aug. 12, according to a story in the Denver Gazette. That two-week hearing, which will be heard by Luxen, was moved to Sept. 30.
“Defendants shall take any and all necessary steps to prevent any of their officers, directors, domestic or foreign agents, divisions, subsidiaries, affiliates, partnerships, or joint ventures from consummating, directly or indirectly, any such transaction,” the court ruling said, according to the Denver Gazette.
A Kroger spokesperson released a statement following the ruling, calling it “welcome news as it eliminates the need for a preliminary injunction hearing in Colorado that was previously scheduled to begin August 12.”
“The hearing on the state’s request for a permanent injunction will go forward as scheduled on September 30. We look forward to defending in court how the combination of Kroger and Albertsons will provide meaningful, measurable benefits, including lower prices and more choices for families across the country and more opportunities for stable, well-paying union jobs,” the Kroger statement added.
Colorado Attorney General Phil Weiser also released a statement: “I am pleased that Kroger and Albertsons agreed to halt their plans to merge until the court rules on the state’s lawsuit to permanently block the grocery merger. This is great news for shoppers, workers, farmers, and other suppliers, who can rest assured that this megamerger will not go into effect during harvest season and while kids are headed back to school. The trial is set to begin on September 30 and my office looks forward to making the case that this merger will eliminate competition and impact food prices, jobs, and consumer choice.”
This is a developing story and will be updated throughout the day.
