Axfood, a food retail and wholesale business, agreed to acquire the wholesale business of Bergendahl Food, a food retailing company, for $216m. In addition, Axfood and Bergendahls initiated a strategic partnership for the retail chain City Gross, where Axfood acquired a minority equity stake of 9.9%. "We are delighted to have reached this agreement with Bergendahls, who similarly to Axfood has a long term and value-based business perspective. There is a clear industrial rationale to this transaction that creates conditions for strengthening the competitiveness of both ours and Bergendahls’ wholesale customers. On the retail side, I am impressed with City Gross’ recent progress, and am convinced that we through this partnership can strengthen City Gross’ market position within the hypermarket segment, a segment in which Axfood is currently not present," Klas Balkow, Axfood President and CEO.