Albertsons continues to expand its investments in the growing Latino grocery sector and announced that it acquired part of the El Rancho Supermercado chain in Texas, which primarily serves Hispanic customers.
The terms of the stoke purchase were not disclosed and El Rancho will continue to operate as an independent company with its headquarters in Garland, Texas, Albertons said in a press release.
“El Rancho has built a great business with its 16 Texas stores, and we’re confident that we’ll be able to leverage our combined expertise to better serve customers across the existing Albertsons Companies’ and El Rancho store bases,” said Bob Miller, Chairman & CEO of Albertsons Companies.
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Miller added that, “with El Rancho’s own distribution and manufacturing facilities serving their Texas stores, we can share best practices that will reduce costs and benefit our customers.”
The agreement with El Rancho provides Albertsons Companies an opportunity to invest in the fast-growing Latino grocery sector. The company already successfully operates a variety of store banners in predominantly Latino areas, and together, Albertsons Companies and El Rancho can leverage their complementary strengths to better serve customers in this growing sector.
Albertsons Companies is one of the largest food and drug retailers in the United States, with stores across 35 states and the District of Columbia.
Salah Nafal, President of El Rancho, said in the press release that, “the transaction announced today will allow El Rancho to accelerate growth and expand into new markets throughout Texas while finding operational efficiencies in all aspects of our business. We are aligned with Albertsons Companies’ vision for the future, strategic initiatives and culture of innovation. We are excited to work together with the Albertsons Companies management team to continue to serve families in the rapidly-growing Latino market.”
Information provided by PRNews