Analysts Considering Takeover Chatter on Safeway Canada; Safeway Shares Up 5%
Desjardins analyst Keith Howlett believes Metro could look at purchases in the Grocery and/or Pharmacy segments following the sale of nearly half of its stake in Couche-Tard. Howelett specifically mentioned Safeway Canada, Jean Coutu and Overwaitea as possible targets.
In addition, BMO's Karen Short mentioned Safeway Canada in a note from earlier, suggesting an offer could be more likely following the recent REIT conversion at Loblaw.
Safeway shares are up more than 5 percent on Wednesday as this takeover chatter makes the rounds. The stock last traded at $19.87 on the NYSE.
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