published Monday, December 19th, 2011

Bi-Lo to buy Winn-Dixie grocery market chain

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    Bi-Lo employees take a break outside the new Super Bi-Lo on Ooltewah-Ringgold Road Tuesday. The store opens Wednesday and boasts a wide selection of organic and fresh foods and a more open atmosphere, according to Bi-Lo region Vice President Dwayne Goodwin. Staff Photo By Kelly Wegel

Do you frequently shop at Bi-Lo?

The Bi-Lo grocery chain announced today that it will acquire Winn-Dixie to create one of the South’s largest supermarket chains with 690 grocery stores and 63,000 employees in eight states.

Bi-Lo LLC said it will pay more than $560 million, or $9.50 per share, to acquire all of the outstanding stock of Winn-Dixie. The purchase price represents a 75 percent premium above Winn-Dixie’s closing price on Friday.

“With no overlap in our markets, the combined company will have a perfect geographic fit that will create a stronger platform from which to provide our customers great products at a great value, while continuing to offer exceptional service,” Bi-Lo Chairman Randall Onstead said. “Bi-Lo and Winn-Dixie are both strong regional brands with similar heritages, compelling customer connections, and outstanding employees. Both have been an important part of the communities and families they serve, and we look forward to building upon these two iconic brands and serving loyal customers for years to come.”

The merger is expected to close in the next 60 to 120 days, subject to the approval of Winn-Dixie shareholders and anti-trust regulators, company officials said. Following the completion of the merger, Winn-Dixie will become a privately-held, wholly owned subsidiary of BI-LO and Winn-Dixie’s common stock will cease trading on the Nasdaq Exchange.

Until the merger is complete, both BI-LO and Winn-Dixie will continue to operate as separate companies.

Following completion of the merger, it is anticipated that the companies will continue to operate under the BI-LO and Winn-Dixie banners that their customers have come to trust.

BI-LO and Winn-Dixie do not currently expect any store closures as a result of the combination. The combined company’s executive management team structure and headquarters location will be decided as the companies move closer to finalizing the transaction; however, it is expected that the combined company will maintain a presence in both Greenville and Jacksonville.

“This transaction with BI-LO provides Winn-Dixie shareholders with a significant cash premium for their shares,” said Peter Lynch, chairman, CEO and president of Winn-Dixie. “By combining BI-LO and Winn-Dixie, we anticipate building a company that is stronger than our individual businesses and creating opportunities for continued advancement through the cross-pollination of our people and the sharing of ideas across our organizations, all to the benefit of our guests, suppliers, team members and the neighborhoods that Winn-Dixie serves.”

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about Dave Flessner...

Dave Flessner is the business editor for the Times Free Press. A journalist for 35 years, Dave has been business editor and projects editor for the Chattanooga Times Free Press, city editor for The Chattanooga Times, business and county reporter for the Chattanooga Times, correspondent for the Lansing State Journal and Ingham County News in Michigan, staff writer for the Hastings Daily Tribune in Nebraska, and news director for WCBN-FM in Michigan. Dave, a native ...

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bluedagger said...

I thought Winn-Dixie closed its doors nationwide several years back.

December 19, 2011 at 9:40 a.m.
RetiredMarshal said...

theres a handfull around here.In florida there holding there own.They do have good meat and the meat cutter down there are great.

December 19, 2011 at 10:37 a.m.
superdragtn said...

Food City bought out a lot of the Winn-Dixie stores in TN several years ago.

December 19, 2011 at 11:19 a.m.
GARRS said...

I am no longer a bi lo fan, after walking into a Dalton Store, and seeing a price of nearly 5 dollars per pound on their ground beef.

The local commercial stores around here, are all owned by the same millionares that are either silent or active partners in the local textile sweatshops that are owned by maybe 3 companies total.

They have their dominant controls established to the point that each dollar they pay you comes back to them, the way the town is set up. They tax a portion, then expect you to waste a portion at their shops, and when you pay your utilities and buy groceries its all gone.

In this town, I was denied assistance following an injury so I investigated who was getting the handouts. I found the building to be bloated with high quality foodstuffs, and dozens of immigrants were there getting their weekly american right, and being allowed to hang on to their foodstamps. ONE MORE RIGHTS violation, since nearly dieing at Shaw Industries, i lived through several.

Its my opinion, when you walk into a fed gov building and insist on filing a complaint, being refused constitutes taxation without representation. Dalton georgia? The leaders do to you as they please.

December 19, 2011 at 10:35 p.m.
SavartiTN said...

Shop at Publix, GARRs, and you won't have to worry about those millionaires since Publix is owned by its employees and rated in the top 100 on the Forbes list as best places to work.

December 20, 2011 at 12:58 a.m.
lookinfour said...

Shop Publix and spend 20 to 30 percent more each week. Compare nearly any item and they're always considerably more.

December 20, 2011 at 9:24 a.m.
SavartiTN said...

Like the standing rib roast on sale at Publix this week that is $5.98/lb and is $7.99/lb at Bilo?

The produce is fresher, the meat department without compare, the bakery is supreme, their selection of organic foods is plentiful, the employees are the most helpful around, and there is no environmentally unfriendly plastic loyalty card required in order to get their weekly Buy One Get One Free specials or any other specials.

December 21, 2011 at 9:19 p.m.
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