A new company, called Back to the Future, has been formed to buy the low-cost chain. Kirk, who is to become non-executive chairman, promises to revive the troubled supermarket brand.
Paul Niklas, Back to the Future managing director, said: "This marks a re-commitment to the Kwik Save brand and its already strong local presence."
Niklas said Back to the Future would refresh the chain's image while maintaining the offer of "quality branded products at competitive prices".
Some 177 stores will remain as Kwik Save, while 102 will be converted to Somerfield and another 100 sold off to other retailers and investors, said to include German discount chains Aldi and Netto.
Somerfield now has 1,000 stores nationwide, including 140 petrol forecourts under the Texaco brand.
The deal, which is said to be worth around 拢200m for Somerfield, follows Kirk's complex 拢405m management buyout of Peacocks in November in a deal backed by hedge funds.
Of the 7,000 staff, 3,000 will continue working for Kwik Save while unions are in negotiation with Somerfield to discuss the fate of the remaining staff.
Somerfield was bought for 拢1.1bn late last year by a consortium including property tycoon Robert Tchenguiz, private equity firm Apax and investment bank Barclays Capital.
Somerfield had already converted the best Kwik Save stores to the Somerfield format, before it announced plans to dispose of the remaining 370-plus stores last Friday.
Pic: Somerfield
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