Albertsons mulls Whole Foods takeover

Albertsons Cos. Inc. is studying a takeover of highend grocer Whole Foods Market Inc., the Financial Times reported yesterday, citing people familiar with the matter.

Whole Foods shares touched an 18-month high yesterday.

Albertsons, the second largest grocery-store operator in the United States and owner of the West Bridgewater-based Shaw's and Star Market chains, has had preliminary talks with bankers about making a bid, according to the report. Sources told Reuters that Whole Foods hired investment bank Evercore Partners to defend itself against Jana Partners, but there were currently no plans for the company to explore a sale.

This month hedge fund Jana Partners disclosed a 8.3 percent stake in Whole Foods and said it wants to explore strategic options.