The sale is subject to higher offers the grocer could receive at an auction on July 18 and 19. Units that are part of the sale are in Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina and Tennessee. "We are working hard to find buyers for additional stores who will continue to operate them as well as offer employment opportunities for our associates," says Peter Lynch, Winn-Dixie's president and CEO, in a statement.

The transaction comes after the grocer, which operates stores in the Southeast and the Bahamas, announced last month that it is closing 326 units, leaving it with 587 stores. The retailer, hurt by competition from Wal-Mart and other grocery chains, filed for bankruptcy protection in February.

Winn-Dixie is keeping its presence in some areas of Alabama, Florida, Georgia, Louisiana, Mississippi and the Bahamas. The company is altogether exiting both Carolinas, Tennessee and Virginia, as well as northern parts of Alabama, Georgia and Mississippi. The retailer will also close some stores in Louisiana.