The parent company of Nova Scotia-based grocery store chain Sobeys has reached an agreement to buy 51 per cent of specialty grocery store chain Longo’s, and its Grocery Gateway e-commerce business for $357 million.
Empire Company Ltd. said the acquisition immediately adds two high-quality banners to Empire’s growing grocery store and e-commerce businesses in Ontario. Longo’s and Grocery Gateway represent strategic additions to Empire’s family of brands in Ontario: Sobeys, Foodland, FreshCo, Farm Boy and Voilà.
As part of the deal, Longo’s will continue to be led by president and CEO, Anthony Longo and his team, while Grocery Gateway, which currently serves 70,000 customers, will continue as a stand-alone business.
“Empire has strong momentum and we are laser-focused on our Project Horizon growth plans in key markets like the GTA, both in bricks and mortar and e-commerce,” said Michael Medline, Empire’s president and CEO, in a news release.
“Longo’s has built one of the most successful and sought-after brands in the GTA and Southwestern Ontario. Longo’s is a crown jewel of grocery and as a values-driven company, Longo’s culture aligns closely with Empire. We couldn’t be happier to be partnering with Anthony and the Longo’s team,” added Medline.
Image via Sobeys
