The Hispanic grocery chain Cardenas Markets is being acquired by private equity firm Apollo Funds.
The deal follows Apollo Funds’ purchase earlier this year of ethnic grocer Tony’s Fresh Market, which has 18 stores in the Chicago area. The firm plans to combine Tony with Cardenas to create a Hispanic- and ethnic-focused grocer.
The two companies will continue to operate under their respective brands and local leadership but will benefit from “greater scale, complementary capabilities and an expanded operating footprint,” Apollo said in a release.
The combined Cardenas-Tony’s footprint will span nearly 80 stores across the Western and Midwest United States with approximately $1.8bn in combined revenues. Cardenas CEO Doug Sanders will serve as CEO of the combined company and the Cardenas chain. Frank Ingraffia will continue to serve as the CEO of Tony’s.
“Together, as two of the highest quality Hispanic and ethnic grocers, we can deliver even greater value to the communities we serve,” stated Sanders. “Apollo private equity has an extensive best-in-class track record of success in food retail.”
