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8:07 PM Mon, Dec. 10th

Haggen sells 3 Arizona stores at auction, but not Prescott and Prescott Valley properties

Albertsons will re-acquire three of Haggen's stores in Arizona through an auction held by Haggen this last week, pending court approval.

The three-day auction ended on Wednesday, Nov. 11, and the final bids were confirmed Friday, Nov. 13, by a U.S. bankruptcy court in Delaware.

Fifty-five of Haggen's 164 stores throughout Washington, Oregon, California, Nevada and Arizona were sold in this phase of the liquidation process for more than $47 million, according to a news release. Purchase prices for individual stores were not disclosed.

Haggen intends to submit the results of the auction for approval to the bankruptcy court at a hearing on November 24.

Only three of Arizona's 10 Haggen stores were bid on during the auction, two of which are in Tucson and one in Lake Havasu City. All were won by Albertson's, which originally sold Haggen 146 of its stores as part of an acquisition deal for the Safeway grocery chain back in December.

The remaining stores in Flagstaff, Prescott, Prescott Valley, Anthem, another site in Tucson and two sites in Scottsdale received no bids.

The court approved two separate purchase agreements on Friday for certain assets with Gelson's Markets and Smart & Final LLC.

Gelson's purchased certain assets related to eight stores located in California for about $36 million. Under a separate agreement, Smart & Final purchased certain assets of 28 stores located in California for $56 million.

If all of the transactions are approved without change, Haggen will have so far shed 91 stores and proceeds from the auction sales will reach $139 million.