Fleming, C&S sign purchase agreement
Jul 8, 2003 12:00 PM, from staff and wire reportsFleming Companies Inc and C&S Wholesale Grocers Inc have signed a definitive asset purchase agreement to sell Fleming’s wholesale grocery business to C&S. The agreement includes substantially all of the assets of the Fleming wholesale grocery business, other than accounts receivable and certain other assets. The estimated purchase price is expected to be $400 million.
This agreement is subject to satisfactory completion of due diligence, C&S obtaining financing, and United States Bankruptcy Court approval. Fleming intends to file the asset purchase agreement with the US Bankruptcy Court in Delaware.
Fleming has filed a motion with the US Bankruptcy Court to establish the procedures for the sale of Fleming’s grocery wholesale operations. The motion seeks approval of the sale process at a hearing scheduled for July 17, 2003.
The sale procedure includes the process for other possible bidders to submit offers to purchase all or part of Fleming’s grocery wholesale business, which would be due by July 28, with an auction July 31. The final sale hearing would be held August 4, and the closing date for the sale would be expected shortly thereafter.