Court approves Marsh deals to sell 26 grocery stores

Terrell Bush
June 15, 2017

There was no mention in the paperwork, filed by Indianapolis-based Marsh as part of its Chapter 11 bankruptcy case in the state of DE of the fate of the 18 other stores on the block, the Star Press, in Muncie, Ind., reported. One possible obstacle to the sale is an objection by CVS Health, which purchased the pharmacy accounts from Marsh in April.

The company was founded in 1964 and changed its name in 1995 to Fresh Encounters.

A Kroger subsidiary made an offer on 11 Marsh stores, including this one in Indianapolis, at Monday's bankruptcy auction. As a condition of the deal, the 37 Marsh stores with pharmacies were precluded from operating pharmacies for five years, the newspaper noted, citing a recent bankruptcy court filing.

If CVS' deal with Marsh is upheld, the two buyers could potentially back out of their agreements to buy the grocery chain.

Kroger subsidiary Topvalco aims to purchase 11 stores in Indianapolis, Zionsville, Muncie, Bloomington, Brownsburg, Fishers and Greenwood for $16 million.

Gershman Partners and Citimark, the local development team that owns Lockerbie Marketplace on the east side of downtown, want assurances that Fresh Encounter has the financial wherewithal and operational savvy to fully perform under the leases it'll be taking over. He noted that the landlords have not yet received a purchase agreement. The remainder, $6.3 million, is for the inventory that Fresh Encounter will liquidate.

The stores are located mainly in OH and eastern in, operating at 21 locations. The identities of the unsuccessful bidders were not disclosed during the hearing.

Other reports by TheDigitalNewspaper

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