Lucky’s Market, a specialty grocery chain that is majority-owned by Kroger Co., filed for chapter 11 protection Monday with plans to sell at least some of its stores to Aldi Inc. and Publix Super Markets Inc. at a bankruptcy court auction, WSJ Pro Bankruptcy reported. The Niwot, Colo.-based chain, which filed for bankruptcy in U.S. Bankruptcy Court in Wilmington, Del., listing about $600 million in liabilities, is keeping seven stores open with the hopes of selling them. The grocer said that it has received indications of interest for the sale of furniture, fixtures and equipment, and the transfer of leases for 26 stores to potential purchasers. It said that it has signed asset-purchase agreements with Aldi for five leased stores and one owned property, and with Publix for five leased stores. The deals are subject to higher bids and court approval. Aldi, which opened its first namesake store in Florida in 2008, said it is in talks to buy several Lucky’s locations in Florida as part of an expansion in Florida this year. Lucky’s has begun closing 32 stores, a process it expects to continue over three weeks. The stores slated to close were expected to lose about $30 million in fiscal 2020, Lucky’s said. Store closing sales began last week and will continue until the end of February, at which time Lucky’s said it would leave the store. The company has 3,015 full- and part-time employees in 10 states.
