What is in this article?:
- Ares Acquires Smart & Final
- Sidebar: Under Apollo's ownership
“It’s interesting when one private equity firm sells to another because the first one has usually pulled the levers in terms of real estate, management or company focus, and there often isn’t much left for the second firm to do."
— Neil Stern, senior partner, McMillan Doolittle
Sidebar: Under Apollo's ownership
• Smart & Final boosted store size, upgraded customer service and rationalized the assortment to strengthen the appeal of the non-membership warehouse stores to general customers while maintaining its appeal to business customers.
• The company grew average store size to 25,000 square feet from 17,000 square feet; eliminated slow-moving SKU’s to devote more room to faster movers; increased produce offerings; added a wall of values; and began running ads weekly instead of every other week.
• Smart & Final acquired a perishables distribution center in 2008 from Whole Foods Market — a deal that included 34 Henry’s Farmers’ Markets in Southern California and nine Sun Harvest Markets in Texas. Those stores were sold in April 2011 to Sprouts Farmers’ Market, Phoenix.
• The company tested the idea of expanding its Cash & Carry format from the Pacific Northwest and Northern California to Southern California but abandoned the idea after testing three stores.
• It also attempted to expand into the Denver market under the name SmartCo in mid-2010 but pulled out within five months when sales failed to meet expectations, the company said at the time.
|Suggested Categories||More from Supermarketnews|