Safeway completes distribution of Blackhawk shares

Safeway Inc. said Monday that it has completed its distribution of all of its shares in Blackhawk Network Holdings Inc.

The grocery chain took the gift and prepaid card unit public last year but still held a 72.2 percent stake in the business.

Safeway announced plans in February to distribute these shares to stockholders as part of its plans to put itself up for sale. The company said it has completed this distribution of 37,838,709 shares of Class B common stock of Blackhawk.

Shareholders received 0.164291 of a share of Blackhawk Class B common stock, for every share of Safeway common stock they held as of the close of business on April 3.

Safeway, which operates Vons, Pavilions and other stores along with its namesake chain, is in the process of selling its business to an investment group led by Cerberus Capital Management, the owner of Albertsons and several other supermarket chains.

Shares of Safeway rose 12 cents to close at $38.01 Monday and were unchanged in after-hours trading following the announcement.