Empire Company Limited, Sobeys’ parent company, purchased a majority stake in Longo’s.
The Financial Post describes how this deal happened in detail.
In summary, Michael Medline, chief executive officer of Empire, was looking to meet with Anthony Longo, chief executive officer of Longo.
Medline explains that they couldn’t go to each other’s offices out of fear that staff would recognize their competitor.
With the ongoing pandemic, many restaurants were closed. They chose to meet on Bay Street in Toronto, ON., which has been empty lately.
On a park bench, the two discussed what is now a $337 million deal, where Empire acquired 51 per cent of Longo’s
Medline says that adding Longo’s to their mix is a good way to grow Empire’s share of Ontario grocery markets.