SRZ Advises Cerberus on $3.3 Billion Deal with SUPERVALU

SRZ advised Cerberus Capital Management LP as the lead investor in a consortium’s $3.3 billion acquisition from SUPERVALU INC. of its Albertsons, Acme, Jewel-Osco, Shaw's and related Osco and Sav-on in-store pharmacies (the "Banners"). SUPERVALU, a publicly-traded company, is one of the largest U.S. grocery businesses. The Banner acquisition, which closed March 21, 2013, involved cash payment and assumption of debt. As part of the transaction, the consortium also conducted a tender offer for up to 30 percent of SUPERVALU's outstanding common stock. The $4 per-share price represented a 50 percent premium over SUPERVALU'S 30-day average closing price prior to announcement of the transaction on Jan. 10, 2013. Following the closing, the Cerberus-led consortium has three designees on the SUPERVALU eleven-member board. Kimco Realty, Klaff Realty, real estate investment company Lubert-Adler Partners and the Schottenstein Real Estate Group joined Cerberus as part of the consortium.

The cross-practice team representing Cerberus and Albertsons Companies included mergers & acquisitions partners Stuart D. Freedman and Robert B. Loper; tax partners Alan S. Waldenberg and Kurt F. Rosell; employment & employee benefits partner Ronald E. Richman and special counsel Scott A. Gold; finance partner Ronald B. Risdon; intellectual property, sourcing & technology special counsel Scott M. Kareff; environmental partner Howard B. Epstein; antitrust and litigation partner Michael E. Swartz; antitrust and mergers & acquisitions partner Peter Jonathan Halasz; real estate partners Jeffrey A. Lenobel and Julian M. Wise; special counsel Seth R. Henslovitz; and former Schulte lawyers Jae Y. Kim and Matthew J. Gruenberg.