Is Kroger Looking to Sow Its Wild Oats?
By George Anderson
A good rumor can do wonders for a company’s stock, as evidenced by yesterday’s 11 percent climb in the share price of Wild Oats Markets.
The natural foods supermarket, reportedly, is considered an acquisition target of Kroger.
Jeff Tryka, analyst, Delafield Hambrecht told Bloomberg News, “Kroger has in the past been one of the more acquisitive players in the industry. I probably wouldn’t be surprised that it’s Kroger just because of their history.”
Andrew Wolf, analyst, BB&T Capital Markets said, “It’s probably an attractive idea, but I continue to think the asset quality of Wild Oats is low to mediocre. The stores are essentially too small.”
Moderator’s Comment: What are your thoughts on a possible
purchase of Wild Oats Markets by Kroger?
Kroger and Wild Oats both refused to comment on the rumor.
Anderson – Moderator]