Minyard Food Stores, Coppell, Texas, is selling its Carnival Super Market brand and 37 of its stores to a group led by The Grocers Supply Co. The group includes Houston-based retailer Fiesta Mart and many of Grocers Supply's local area retail grocer customers.
Minyard operates stores under three different banners, Minyard Food Stores, a traditional supermarket; Sack'n Save, a price oriented warehouse concept; and Carnival Food Stores, a Hispanic supermarket. The company opened its first Carnival store in 1990, growing the chain to 23 stores. Hot baking takes a prominent role in Carnival stores, which feature bakeries, pastry shops and tortillarias.
“The complexity of running three separate banners cost-effectively in one market became more pronounced as our customer base was hit especially hard by the current downturn,” said Minyard President and CEO Michael Byars.
In recent years, the company focused efforts on upgrading its Carnival stores to capitalize on the growing potential of the Hispanic market in North Texas. In-store bakeries were key to store remodels and product offerings. “Though operators might consider bakery tertiary, we learned that the panaderia is a critical element for the Hispanic consumer,” said Poul Heilmann, senior vice president marketing/strategic planning in a Modern Baking interview regarding the concept in January last year.
Minyard management stated in a press release that Grocers Supply's aquisition of the Carnival brand and stores confirms the chain's strategic focus on the burgeoning Latino food market.
“The upcoming acquisition is a validation of our concept and the success of our Carnival brand,” Byars said. “It proves what we've said all along about the growing power and influence of Hispanics in North Texas. Added to Fiesta's 15 DFW stores, our Carnival brand and outlets will further establish a substantial Latino-themed retail presence throughout the Metroplex.”
Grocers Supply entered into an agreement to purchase 23 Carnival supermarkets, five Minyard, five fuel centers and nine Sack'n Save warehouse stores from Minyard Food Stores. Minyard will continue to operate 21 Minyard stores, which also feature reputable in-store bakeries.