Albertsons Companies Inc. filed a lawsuit against Kroger Co. in Delaware's Court of Chancery on Wednesday, accusing the grocery giant of deliberately sabotaging their proposed $24.6 billion merger. The lawsuit follows two court rulings that blocked the deal just a day prior.

In its complaint, which is currently under seal, Albertsons claims that Kroger "willfully breached" the merger agreement by failing to divest assets as required for regulatory approval and ignoring feedback from antitrust authorities. The grocery chain also accuses Kroger of acting in bad faith and prioritizing its financial interests over the merger's success.

Albertsons General Counsel Tom Moriarty said in a statement that Kroger's alleged actions deprived shareholders of the premium they were promised and harmed employees and consumers. “Rather than fulfill its contractual obligations, Kroger acted in its own financial self-interest,” Moriarty stated, criticizing Kroger’s insufficient proposals to address antitrust concerns.

Albertsons is seeking "billions of dollars" in damages, citing a decline in shareholder value and missed business opportunities due to the failed merger. The company also announced the official termination of the merger agreement, which entitles it to a $600 million breakup fee, according to Albertsons.

In response, Kroger rejected Albertsons' allegations as "baseless and without merit," claiming Albertsons had breached the agreement repeatedly and interfered in the regulatory process. A spokesperson for Kroger said the company intends to refute Albertsons' claims in court, asserting that Kroger had "upheld the merger agreement throughout the entirety of the regulatory process."

The legal battle follows rulings from two courts that blocked the merger. U.S. District Judge Adrienne Nelson in Oregon issued a preliminary injunction, finding the deal harmful to competition in grocery markets. Similarly, Judge Marshall L. Ferguson of King County Superior Court in Washington criticized the companies' proposed divestiture plan, stating it could not replicate the competitive intensity currently seen in the market.

Albertsons CEO Vivek Sankaran expressed disappointment over the failed merger, calling the decisions by the courts "deeply disappointing."

Albertsons is represented by Selendy Gay PLLC, Williams & Connolly LLP, and Dechert LLP. Representation for Kroger was not immediately available.

The case raises significant questions about the balance between corporate mergers and antitrust protections, as well as the obligations companies have when pursuing such high-stakes deals.