• 61°

Food Lion's plans for Bi-Lo on back burner

From staff, wire reports
Bi-Lo’s bankruptcy-exit plan doesn’t include a discussed acquisition by Food Lion, according to a statement released by the Salisbury-based grocer.
Belgian parent company Delhaize Group, parent of the Food Lion supermarket chain, agreed last month to buy a majority of the assets of Bi-Lo in a deal valued at $425 million.
“Food Lion is not part of the reorganization plans filed with the court,” Food Lion said in its statement. “We had a non-binding agreement with the debtor to acquire certain assets of Bi-Lo, but this agreement is no longer valid.”
Food Lion said it is still “strongly interested in acquiring certain Bi-Lo assets if an opportunity” arises.
Current owner Lone Star Funds, a private equity firm, would provide $350 million to repay Bi-Lo’s debt under the bankruptcy court plan. Another proposal calls for a creditors’ committee of mostly food vendors to receive 43 percent of Bi-Lo’s stock for the first $100 million of an unpaid $260 million loan. The rest would be converted into promissory notes, and a different private equity firm would be the lead investor.
Bi-Lo, founded in 1964, is privately held and based in Mauldin, S.C. The company’s reorganization plan was filed in the U.S. Bankruptcy Court for the District of South Carolina. The company had filed for Chapter 11 bankruptcy protection in March.
Bi-Lo operates 215 supermarkets in the Carolinas, Georgia and Tennessee. The closest Bi-Lo location is on Cannon Boulevard in Kannapolis.

Comments

Comments closed.

Education

Local student surprised with horse-drawn ride home from school

Local

Pedestrian hospitalized after being struck by police car

Local

Torch Run returns to Rowan streets, raises money for Special Olympics

Crime

Fish arcade company drops suit against Rowan County Sheriff’s Office

Crime

Man faces kidnapping, assault charges after woman escapes at Webb Road Flea Market

Local

Natoli promoted to assistant county manager, will retain human resources director title

Education

Attendance restriction lifted for RSS graduation ceremonies

Business

Rowan Chamber of Commerce will host in-person Power in Partnership on Thursday

Business

Rowan EDC will undergo name change, alter board requirements with updates to bylaws

Nation/World

Israel strikes Gaza tunnels as truce efforts remain elusive

Nation/World

Supreme Court to take up major abortion rights challenge

Nation/World

Biden boosting world vaccine sharing commitment to 80M doses

Crime

Man charged for stowing away on Norfolk Southern train, impeding railroad operations

Local

Group will protest treatment of Georgia woman during 2019 traffic stop

Crime

Man overdoses at Piedmont Correctional Institute

Crime

Sheriff’s Office: Two men escape from jail, found in bushes on Fulton Street

Ask Us

Ask Us: When will North Martin Luther King Jr. Avenue be resurfaced?

Local

Political Notebook: Rowan’s lawmakers pass 140 bills into the opposite chamber before deadline

Local

Police chief to present use of force policy; city manager to present 2021-22 budget

Crime

Blotter: Rockwell man arrested on charges of felony larceny, possession of stolen vehicle

Coronavirus

CDC director says mask turnaround based solely on science

News

Catawba College hosts three in-person commencement ceremonies

Local

With high case loads causing numerous staff departures, Child Protective Services seeks more positions

Education

Livingstone College graduates celebrate ‘crossing the finish line’ during commencement celebration