US retail giant Safeway has revealed it is in talks over a possible sale of the company.

Safeway said today (19 February) said the discussions are “ongoing” but did not disclose the name of the interested party.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

“Although the discussions are ongoing, the company has not reached an agreement on a transaction, and there can be no assurance that these discussions will lead to an agreement or a completed transaction,” Safeway said. “The company will not comment further on these discussions at this time.”

Reuters reported private-equity firm Capital Management is in talks with Safeway about a possible deal.

Safeway’s shares were up 3.58% at US$35.85 in after-hours trading.

Meanwhile, Safeway said it is looking to sell its 49% stake in Mexican retailer Casa de Ley.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Safeway has also decided to distribute the remaining 37.8m shares it owns of prepaid payment provider Blackhawk Network Holdings, around 72.2% of the outstanding shares in the company to its stockholders.

The grocer also reported net earnings from continuing operations of US$100m, or $0.35 per diluted share, for the fourth quarter of 2013, compared to $170.7m ($0.71 per diluted share) for the fourth quarter of 2012.

The fourth quarter of 2013 included a $57.4m loss on foreign currency translation, a $30.0m loss from the impairment of notes receivable and a $9.7m gain from the reduction of a contingent consideration related to Blackhawk’s acquisition of Cardpool.

The fourth quarter of 2012 includes a $46.5m gain from legal settlements.

Sales and other revenue was $11.3bn, compared to $11.2bn a year earlier. Identical-store sales, excluding fuel, were up 1.6%.