Albertsons Reportedly Considers Merger With Sprouts Farmers

(RTTNews) - Albertsons Cos., the grocery-chain operator backed by Cerberus Capital Management, has held preliminary talks to merge with Sprouts Farmers Market Inc. (SFM), Bloomberg reported citing people familiar with the matter.

The discussions, which took place in recent weeks, are at an early stage and may not lead to a deal. The talks have involved a plan to take organic grocer Sprouts private and add it to Albertsons' portfolio, which includes eponymous grocery stores and the Safeway store brand, the report said.

Sprouts, based in Phoenix, has a market value of $3 billion.