US supermarket operators Ahold and Delhaize have entered preliminary discussions over a possible merger.

If the talks result in the two businesses combining the result would be the US’ third largest grocery retailer with annual sales of about US$40 billion.

Dutch-founded Ahold operates 3206 supermarkets, convenience stores and liquor chains in the US, The Netherlands and the Czech Republic as well as petrol stations and specialty stores selling health and beauty products. Its brands include Albert Heijn, Etos, Gall & Gall, bol.com, Pingo Doce, Stop & Shop, Giant Landover, Giant Carlisle, Albert Heijn Online, Peapod and Albert.

Rival Delhaize, headquartered in Belgium, operates 3402 supermarkets, cash and carry warehouses and specialty stores in the US, Belgium, Luxembourg, Greece, Romania, Serbia and Indonesia.

Most of the two chains’ revenues come from the US market.

Despite their similar network sizes, Ahold has a market capitalisation of about €15.5 billion, which is double the size of  Delhaize’s €7.53 billion.

Ahold posted a net profit of €219 million for the quarter to February, while Delhaize earned €173 million in the first quarter.