Cencosud, the largest retail group in Chile, has agreed to acquire a majority stake in The Fresh Market (Greensboro, NC), a specialty grocer with stores in 22 states.
Cencosud will spend $676 million to purchase 67% of the grocer from Apollo Funds, an affiliate of Apollo Global Management. Existing Fresh Market shareholders, including Apollo, the Berry family and company management, will retain a minority equity interest in company.
“Looking ahead, [The Fresh Market] has a tremendous new store growth opportunity that Cencosud’s investment can accelerate, and we look forward to working closely with … the Cencosud team in helping to drive continued value creation,” Apollo Partner Andrew Jhawa said.
Founded in 1960, Cencosud operates more than 1000 supermarkets, department stores, home improvement stores and shopping malls across Argentina, Brazil, Chile, Colombia and Peru.
The Fresh Market, founded in 1982, operates 160 locations with an average store size of about 21,000 square feet. The grocer is currently in the process of going public again after being publicly listed from 2010 to 2016.