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The Associated Press
OMAHA, Neb. (AP) â€” Retailers Shopko and Pamida say they plan to merge, creating a company with nearly 350 stores in 22 states.
Terms of the deal announced Wednesday weren't disclosed. The merger is expected to close in mid-February.
The companies, owned by investment firm Sun Capital Partners Inc., are focused on smaller and rural communities. Shopko, based in Green Bay, Wis., has 149 stores in 13 states and annual revenues of $2 billion. Pamida, based in Omaha, Neb., has 193 stores in 17 states, with revenues of $1 billion.
The companies say there will be no change to Shopko's stores, and $80 million will be invested over the next 12 months to convert most of the Pamida stores into Shopko Hometown stores.
The plan includes new stores in the second half of 2012.