Safeway On Acquisition Block Should Be No Surprise To Hedge Funds

Safeway Inc. (NYSE:SWY) is in acquisition talks to sell itself, the company announced. Cerberus Capital Management LP, which owns large grocery store chains, is involved in the acquisition talks, according to Reuters. The Pleasanton, Calif.-based grocery store operator, which has over 1,300 locations, had seen revenue falling and its business units running into trouble.  In the fourth quarter of 2013, for instance, Safeway Inc. SWY earned 35 cents per share, or $100 million, from continuing operations and excluding onetime charges it earned 53 cents per share.  While the earnings were above Wall Street consensus estimates of 47 cents per share, compare…