Albertsons Companies announced an investment in El Rancho Supermercado, a Texas-based retailer that focuses on stores for Latino customers. El Rancho will continue to operate as an independent company headquartered in Garland, Texas, the announcement says.

According to the company, “The agreement with El Rancho provides Albertsons Companies an opportunity to invest in the fast-growing Latino grocery sector. The company already successfully operates a variety of store banners in predominantly Latino areas, and together, Albertsons Companies and El Rancho can leverage their complementary strengths to better serve customers in this growing sector.”

Terms of the deal were not disclosed.

KC's View: Very smart. I think that we’re going to see more of this sort of thing, as companies like Albertsons and Kroger look for niche business in which to invest, to which they can offer some efficiencies and from which they can learn ways to be more effective.