August 11th, 2016Breaking News: Angelo, Gordon Sells Kings, Balducci’s To Investment Company; Spires Remains CEO

After several years of searching for a buyer, New York-based private equity firms Angelo, Gordon & Co. and MTN Capital Partners LLC have sold their retail food subsidiary Kings Super Markets, Inc. and Balducci’s Food Lover’s Markets.

The buyer is KB Holding, Inc. a Delaware-based investment firm affiliated with GSSG Capital (Ghanim Bin Saad Al Saad & Sons Group), one of the largest privately-held businesses in the Middle East nation of Qatar.

The terms of the transaction were not disclosed. Kings and Balducci’s will continue to be managed locally with Judy Spires remaining as chairman and CEO and Rich Durante as president. Sources told us that the KB Holding is also prepared to increase the capital investment at the company’s 34 stores which maintains headquarters in Parsippany, NJ (Kings) and Rockville, MD (Balducci’s)

“We believe this will be a great partnership for Kings and Balducci’s that will create significant opportunities for our business going forward,” said Spires.

“This investment will lay the foundation for expansion now and into the future,” Durante added.

The deal includes 25 Kings stores in Connecticut, New Jersey and New York, as well as six Balducci’s stores in Connecticut, New York, Maryland and Virginia, two Balducci’s Gourmet On The Go locations (New York City and Baltimore) and a Balducci’s Express at New York’s JFK Airport.

Angelo, Gordon & Co acquired Kings in 2006 from Marks & Spencer in partnership with MTN Capital Partners. Marks & Spencer had acquired Kings in 1998. Kings was founded by Joe Bildner in Summit, NJ in 1936.

In April of 2009, Angelo, Gordon acquired Balducci’s from Bear Stearns Merchant Banking.  Balducci’s had been sold to Sutton Place in 1999 and that Maryland based specialty retailer was then acquired by an investment group led by Bear Stearns in November 2003. Balducci’s traces its roots to 1916 when Louis Balducci opened his first upscale store in Brooklyn.

According to the Food World and Food Trade News June 2016 market studies, Kings Food Markets and Balducci’s (excluding Balducci’s On The Go and Balducci’s Express) had estimated sales of $612.4 million at 31 locations.

Article by: Best-Met.com

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