In a major move to increase its presence in New York City, Wakefern Food Corp. announced on August 7 that it has entered into an agreement to purchase Morton Williams’ 17 stores in the New York metro area, all but two of which are located in Manhattan. No financial terms of the deal were released at presstime. Trade observers had been speculating about this deal for the past four months.
The acquisition combines the grocery expertise of the family-owned cooperative and the Morton Williams family, which has owned and operated their stores for three generations.
Keasbey, NJ-based Wakefern will retain the Morton Williams name. A wholly owned subsidiary of Wakefern will operate the 17 stores, with continued emphasis on fresh prepared foods, produce and Wakefern’s private label brands.
The Food Partners, headquartered in Washington DC, served as financial and strategic advisor to Wakefern during the transaction.
“We are very excited to welcome Morton Williams to our Wakefern family of supermarket banners. This acquisition is an incredible opportunity to continue the legacy of a storied New York City grocer while building on the business and adding even more product offerings, value and quality for shoppers,” said Wakefern president Mike Stigers. “Wakefern is committed to honoring the traditions of Morton Williams by bringing high-quality fresh foods and groceries to residents of one of the greatest cities in the world.”
“The acquisition is part of Wakefern’s aggressive growth strategy to expand both its market share and wholesale distribution reach,” added Wakefern chairman Sean McMenamin. “Wakefern’s leadership team and board of directors has a vision for our cooperative that is transformative. We are positioning Wakefern for sustainable, lasting growth that will impact future generations of our membership.”
Like Wakefern, Morton Williams is family owned. The company was founded in 1952 by brothers Joe and Irving Sloan. Joe’s sons Morton and William later built upon the business and expanded to supermarkets in the New York City area. They would go on to reinvent the business again in the 1970s, when they began opening new, reimagined markets in Manhattan. They changed the name of the new stores to Morton Williams and opened locations with kitchens, chefs and a focus on fresh prepared foods for customers on the go.
Carrying on the family legacy, Morton Williams is now guided by the third generation – Avi Kaner, Morton Sloan’s son-in-law; David Sloan, his son; and Steven Sloan, the son of William Sloan.
“Like Wakefern, which was founded by neighborhood grocers, we are also a family business and proud of the company we’ve built over the decades. Supermarkets are an important part of the fabric of the neighborhoods they serve. Wakefern understands that,” said Avi Kaner, speaking on behalf of the Sloan and Kaner family. “We know our company, its team members, and loyal customers are in good hands as it moves into the future under Wakefern’s leadership.”
Kevin McDonnell, currently president of Wakefern’s wholly owned subsidiary PRRC, Inc., will serve as the Wakefern executive leading Morton Williams. PRRC, Inc. operates stores under the Price Rite Marketplace banner.
“I look forward to working with the team at Morton Williams to ensure we continue delivering the service and quality the brand is known for and at the same time offering greater value that comes from being part of a cooperative,” noted McDonnell. “The buying power of the cooperative, which has more than 360 stores in nine states, and the legacy of Morton Williams service is a winning combination.”
McDonnell is a 40-year supermarket industry veteran with broad experience in store operations, merchandising, marketing and management as well as extensive experience in operating stores in the New York City area for both A&P and Fairway Market.
Morton Williams also offers online shopping and operates 15 stores in Manhattan, a store in the Bronx and another in Jersey City at the following locations: (Manhattan) 130 Bleecker Street; 278 Park Avenue South (22nd Street); 311 East 23rd Street (2nd Avenue); 908 Second Avenue (48th Street); 1031 First Avenue (56th Street); 140 West 57th Street (between 6th & 7th Avenues); 917 Ninth Avenue (59th Street); 15 West End Avenue (Corner of 60th Street); 1066 Third Avenue; 2015 Broadway (68th Street); 1331 First Avenue (71st Street); 1251 Third Avenue (Corner 72nd Street); 1565 First Avenue (81st Street); 1211 Madison Avenue (87th Street); 2941 Broadway (115th Street); (The Bronx) 15 East Kingsbridge Road (Jerome Avenue); (New Jersey) 105 River Drive, Jersey City.
