SPRINGFIELD, Mass. — Big Y Foods here said Wednesday it has agreed to acquire seven A&P supermarkets in northern Connecticut. Terms of the agreement were not disclosed.
"The acquisition of these stores provides an opportunity for Big Y to move into some key locations that make it a natural fit for Big Y by filling in holes within our existing markets," said Charles L. D'Amour, president and chief operating officer, Big Y.
"And, despite the troubling economy, we are especially excited about providing our employees with opportunities as we grow within our home markets."
The transaction is expected to close by the end of October. Big Y, a family-owned company operating 58 supermarkets in the region, said said it expects to close the stores briefly for remodeling and to reopen "a number" of them as Big Y World Class Markets.
The Food Partners of Washington, D.C., assisted Big Y with the completion of this transaction. The stores are located in Branford, East Haven, Middletown, Mystic, Naugatuck, Old Lyme and West Hartford.
"We continue to evaluate our operating footprint and its alignment with our turnaround strategy," said Sam Martin, president and chief executive officer of Montvale, N.J.-based A&P, in a prepared statement. "These seven stores were clearly outside of our core markets and their sale was necessary."
The sale follows A&P's previously announced plans to shutter 25 locations, which are separate from the seven stores being sold to Big Y.