Supervalu Inc. (NYSE:SVU) has struck a deal with The Fresh Market Inc to become its grocery wholesaler.
The long-term agreement will net the Greensboro, North Carolina-based supermarket chain a supplier and distributor for years to come. The move comes as The Fresh Market turns a new leaf from its old distribution partners to Supervalu.
The products that the Eden Prairie, Minn.-based retail chain will provide for the grocer include meat, deli, bakery, grocery, dairy products and frozen foods. Supervalu goods will make their way into The Fresh Market locations as soon as the fall.
This union is expect to expand further for years to come. Supervalu President and CEO Mark Gross commented on the matter, saying the company is glad to partner up with a “terrific organization with a tremendous store base and a great consumer offering.”
He also noted that The Fresh Market is a leader in its industry, providing a variety fresh products while maintaining a strong relationship with its customers.
The Fresh Market President and CEO Rick Anicetti suggested the move is ideal for the company as Supervalu’s prominent position and experience in the grocery world is in line with his company’s vision.
Nearly five months ago, Supervalu announced it will ramp up efforts to comply with fair trade practices, including plans to only carry and distribute cage-free eggs by 2025.
The retailer has been around for about 90 years, and it now has over 1,120 stores around the nation.
The Fresh Market has more than 6,000 employees in its 185 stores, which are spread throughout most states.
SVU shares are up 8.1% Monday afternoon.
