By Olivia Oran
Sept 17 Hedge fund Jana Partners LLC disclosed
in a regulatory filing on Tuesday that it had acquired a 6.2
percent stake in grocery chain Inc.
Jana said it has held talks with Safeway management about
reviewing strategic alternatives for the Pleasanton,
California-based company and that its shares are undervalued.
The hedge fund also said it has spoken with Safeway about
exiting lower margin geographies.
Safeway said on Tuesday it had adopted a so-called poison
pill to prevent an unwanted takeover of the company.
Safeway is working with investment bank Goldman Sachs Group
Inc to defend the company against a takeover, according
to a source. Goldman Sachs declined to comment.
Safeway sold its Canadian assets to Empire Co Ltd,
the parent of Canada's second-largest grocery chain, in June for
It also spun off its gift card unit Blackhawk Network
Holdings Inc earlier this year.
Safeway operates its namesake chain as well as the Vons and