SpartanNash Shares Surge 35% as Amazon Gets Warrant to Buy Stake
October 09 2020 - 11:50AM
Dow Jones News
By Colin Kellaher
Shares of SpartanNash Co. rose nearly 35% Friday after the
grocery distributor issued a warrant to buy about 5.44 million
shares to Amazon.com Inc. in connection with its commercial
agreement with the e-commerce giant.
SpartanNash said the warrant carries an exercise price of
$17.7257 a share, and that it is already vested for about 1.09
million shares.
In a filing with the U.S. Securities and Exchange Commission,
the Grand Rapids, Mich., company said Amazon's right to buy shares
under the warrant expires in October 2027.
SpartanNash, which in 2016 inked a deal to supply Amazon's
distribution centers with grocery products, currently has about
35.8 million shares outstanding.
Full exercise of the warrant by Amazon would make it
SpartanNash's largest shareholder, according to data from FactSet.
BlackRock Fund Advisors is currently the top holder with 5.25
million shares, or a roughly 14.6% stake.
SpartanNash shares, which closed Thursday at $17.02, were
recently up 34.8% at $22.94.
Write to Colin Kellaher at colin.kellaher@wsj.com
(END) Dow Jones Newswires
October 09, 2020 11:35 ET (15:35 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
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