Supermarket operator The Kroger Co. has struck a deal to acquire regional grocery chain Harris Teeter for $2.4 billion, according to the New York Times. The acquisition will allow Kroger to expand into Southeast and mid-Atlantic states, including North and South Carolina, Tennessee and Georgia, among others.
According to the acquisition agreement, Kroger will pay $49.38 per share for Harris Teeter's stock and assume $100 million in the company's outstanding debt. Once the deal goes through, Harris Teeter will operate as a Kroger subsidiary, retaining its brand name and current senior management team. Harris Teeter operates 212 stores and reported $4.5 billion in revenues last year.