PROVIDENCE, R.I. — Supervalu Inc., now a subsidiary of United Natural Foods Inc., plans to sell its Hornbacher’s chain to Coborn’s Inc.

The deal, announced by UNFI on Friday, includes seven Hornbacher’s locations, as well as a new Hornbacher’s store that is currently under development in West Fargo, N.D. Hornbacher’s remaining store, located in Grand Forks, N.D., is not included in the sale to Coborn’s and will close following a liquidation sale.

“The sale of Hornbacher’s to Coborn’s is an ideal outcome for our associates and the Fargo-Moorhead community,” said Supervalu chief executive officer Sean Griffin. “As we previously discussed, our strategy is to focus on the wholesale business going forward, so finding a strategic buyer for Hornbacher’s with continued supply opportunity was a top priority. Coborn’s is a long-standing Supervalu wholesale customer and we’re excited that they will carry on the Hornbacher’s name and tradition of quality products and service.”

The transaction is currently expected to close before Dec. 25, subject to customary closing conditions. As part of the sale, Coborn’s plans to retain the Hornbacher’s name and will enter into a long-term agreement for Supervalu to serve as the primary supplier of the Hornbacher’s locations.  As well, Supervalu will enter into an expanded supply relationship with Coborn’s. Both of these supply agreements will include minimum purchase requirements.

“We appreciate the tremendous service of our associates and their unwavering dedication to our customers through the years,” said Anne Dament, executive vice president for retail, marketing and private brands at Supervalu. “I know the store teams and staff will do an amazing job supporting Coborn’s and continuing to make Hornbacher’s a popular choice for the local community going forward.”

The Hornbacher’s chain made its debut in 1951 with the opening by Ted Hornbacher of a Ted’s Supervalu store in Moorhead, Minn. Supervalu acquired the banner in 1975.

Coborn’s, which is based in St. Cloud, Minn., is an employee-owned company. It operates about 30 Coborn’s supermarkets in Minnesota and in South Dakota, and also operates stores under the Coborn’s Express, Cash Wise Foods, Holiday Pantry, Little Dukes, Marketplace Foods, and Save-A-Lot banners.