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Friday, January 4, 2013

Cerberus nears Supervalu deal -source, (NYSE: SVU)

Private equity firm Cerberus Capital Management LP and its partners are nearing an agreement to purchase parts of Supervalu Inc, and an announcement could come as soon as next week, a person familiar with the matter said on Friday.Cerberus and its partners plan to buy some assets of the company and take a stake in the remainder, which is expected to remain public, The Wall Street Journal reported earlier. Shares of Supervalu, the third largest U.S. supermarket chain, sending jumped 17 percent.Cerberus would contribute around $500 million in equity, several hundred million less than initially discussed, the Journal said.A Supervalu spokesman said on Friday the company's review of strategic alternatives was proceeding and that it was in "active discussions with several parties." He failed to comment further.

SUPERVALU INC. (SUPERVALU) is a United States grocery channel. Shares of SVU traded higher by 17.57% or $0.455/share to $3.04. In the past year, the shares have traded as low as $1.68 and as high as $8.56. On average, 6063020 shares of SVU exchange hands on a given day and today's volume is recorded at 23261736.