BOISE (AP) — Albertsons Inc. has acquired gourmet and specialty foods retailer Bristol Farms for an undisclosed amount.

The Southern California company will be a wholly owned subsidiary of Albertsons but will operate its 11 stores independently under the Bristol Farms banner.

Kevin Davis will continue as Bristol Farms' chief executive officer.

Albertsons Chairman Larry Johnston said the deal reflects the efforts of the nation's second largest food and drug retailer to diversify its holdings into new formats that can accelerate growth, tap into new customer segments and maximize return on invested capital.

Bristol Farms has been in the majority control of private equity funds.

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Albertsons has 2,500 stores in 37 states with revenues of over $35 billion annually.

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