Takeover Talk Boosts Lucky Stock
DUBLIN, Calif. (AP) _ Reports that New York businessman Asher Edelman has acquired 3 percent of Lucky Stores Inc. sent the retailer’s stock climbing.
Lucky’s stock rose $1.87 1/2 to $32.37 1/2 by midday Thursday on the New York Stock Exchange. It climbed $1.62 1/2 on Wednesday.
Edelman, who has been involved in several hostile business takeover efforts, would not comment on reports that he recently acquired 1.5 million shares of Lucky Stores stock.
He also would not say if he bought a block of 433,600 Lucky shares that traded at $30.50 each.
Lucky spokeswoman Judith Decker said the company had no comment.
Lucky operates grocery stores under its own name and the names Food Basket and Eagle. It also owns several chains, including Gemco discount stores, Kragen auto parts stores and Hancock Fabrics.
In the second quarter ending Aug. 3, Lucky recorded a 38 percent drop in profits to $15.6 million from $25.2 million in the same quarter a year ago. Sales in the period reached $2.32 billion, up slightly from $2.31 billion the same quarter in 1985.
Last month Edelman bid unsuccessfully for Freuhauf Corp. in Detroit, a truck-trailer manufacturer.