ENCINO, CALIF. – Southern California grocery chain Gelson’s Markets will be acquired by Pan Pacific International Holdings (PPIH) from TPG Capital through a deal expected to close in the second quarter of 2021.
“We have long appreciated TPG’s understanding of the Gelson’s brand and its strong support over the past seven years, from financing newly built and acquired stores to investing in our Santa Fe Springs distribution center,” said Rob McDougall, president and chief executive officer of Gelson’s. “As we look to the future, we are excited about opportunities for new growth and partnerships under PPIH, while remaining focused on our longtime commitment to the highest standards of quality, value, and unsurpassed customer service. PPIH leadership has visited every one of our locations and has been incredibly complimentary of our stores and teams, as well as our customer service philosophy.”
PPIH is a global retailer with 638 international stores, 582 of them in Japan, and is particularly known for its Don Quijote store brand. PPIH also operates stores in the United States in Hawaii and California, as well as in Singapore, Hong Kong, Thailand and Taiwan.
“We strongly respect Gelson’s brand and history of 70 years known as a premium supermarket chain in the US,” said Naoki Yoshida, president and CEO of PPIH. “We have set our footprint in the state of California when we acquired MARUKAI CORPORATION in 2013, and we look forward to expanding our presence in California and dedicating ourselves to satisfying customers who value quality products, cleanliness, convenience, and personal service. We feel excited to work with Gelson’s team to accelerate future growth.”
Gelson’s was acquired by TPG Capital in 2014. The brand has grown significantly over the seven-year partnership, expanding its footprint from 17 to 27 stores from Santa Barbara to San Diego. During this time, Consumer Reports ranked Gelson’s #1 in the West and #4 in the nation among 96 US grocery brands. Originally established in 1951, Gelson’s will celebrate its 70th anniversary this coming July.
“We are incredibly proud of all we’ve accomplished with Rob and the Gelson’s team over the past seven years,” said Paul Hackwell, partner at TPG Capital. “Together, we’ve been able to meaningfully grow Gelson’s footprint while maintaining the qualities that make the brand so special – its expansive but localized offering, focus on quality and freshness, and unwavering commitment to customer service. We thank the entire Gelson’s team for their partnership and wish them continued success as they enter their exciting next chapter with PPIH.”