(Reuters) - A Colorado judge issued an order temporarily blocking the proposed $25 billion merger between Kroger ( KR ) and Albertsons ( ACI ), which has been challenged by the state attorney general, Bloomberg News reported on Thursday.
At a hearing in Denver on Thursday, Judge Andrew J. Luxen granted a preliminary injunction halting the deal and canceled a hearing set for next month, according to the report.
Luxen will now oversee a two-week trial on the merits of the proposed tie-up beginning on Sept. 30, the report said, adding that the two companies agreed to delay closing their proposed deal until after the court rules.
Kroger ( KR ) and Albertsons ( ACI ) did not immediately respond to Reuters' requests for comment.