Kroger  it will acqui꧋re smaller rival Albertsons in a ൩deal that will create a super-sized new grocery giant.

The combined company could have an annual revenue of more than $200 billion and about 5,000 stores, marking one of the biggest mergers in recent years in the retail space. Shares of Albertsons (ACI) soared nearly 12% on reports of the deal. Shares of Kroger (KR) were up over 1%.

The merger could provide the retailers with leverage in negotiations with consumer product makers such as Procter & Gamble and Unilever at a time of big price hikes. It would also help them compete with Walmart, which is the biggest seller of groceries 🍸in🍌 the U.S. 

Some critics have said that the deal could✤ lessen competition among grocery chains and possibly lead to higher prices for sho🌞ppers. 

Kroger has mo🎃🗹re than 2,700 grocery stores, including regional chains like Fred Meyer and Ralph’s, and generated nearly $140 billion in sales last year. Albertsons runs nearly 2,300 supermarkets across the U.S. including Safeway and Vons, and reported $72 billion in sales.

Shares of Albertsons are down about 2.4% so f💙ar this year, while shares of Kroger are up 🐽3%.