Kroger is back in growth mode with Giant Eagle acquisition

On Wednesday, Kroger announced that it would buy Giant Eagle for just under $1.7 billion, a signal of the grocer’s urgency to boost its footprint.

The move enters Kroger into attractive adjacent markets, CEO Greg Foran said in a statement. “Giant Eagle is a well-run, high-quality regional grocer with a strong reputation for fresh products, pharmacy, private label and customer loyalty,” he said. A Kroger representative told Modern Retail it will retain the Giant Eagle brand name. Kroger expects the deal to close in 2027.

Kroger has been struggling with intense competition from a wide variety of retailers, from Walmart to Amazon, Trader Joe’s and Aldi, while consumers have been more cautious in their grocery spending amid higher gas prices and the reduction of SNAP benefits. Kroger grew its sales 2.9% from fiscal 2024 to 2025, excluding fuel. Its newly appointed CEO, Foran, had been looking for new avenues of growth after its proposed $25 billion merger with Albertsons failed to move forward a couple of years ago.

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