El Super to acquire Fiesta Mart, create Hispanic grocery giant
On March 25, Bodega Latina, the US subsidiary of Mexico-based Grupo Comercial Chedraui announced it was purchasing Houston-based Fiesta Mart from private equity firm ACON investments. The Houston Chronicle estimated the deal at $300 million and reported that Fiesta Mart stores will retain their name.
Bodega Latina owns El Super which currently operates 59 stores throughout California, Arizona, Nevada, New Mexico and Texas, while Fiesta Mart currently operates 63 stores in Houston, Dallas and Austin.
“The acquisition of Fiesta allows us to meaningfully expand into Texas via an established, well-known supermarket operator,” said Carlos Smith, CEO of Bodega “Through the combination of the strengths of our two organizations, we will be well positioned to significantly accelerate our vision of efficiently offering high quality products at the lowest possible prices,” Smith said.
Once the acquisition is complete the chain will have a total of 122 stores in California, Arizona, Nevada, New Mexico and Texas. The deal is expected to close in the second quarter of 2018.