The Golden Gallon convenience store chain is being sold for an undisclosed amount of cash to Bi-Lo, Inc.
Golden Gallon, which is headquartered in Chattanooga, has 135 stores.
Officials said the Golden Gallon name will be retained.
Bi-Lo has been moving into the convenience store market, recently opening a Bi-Lo On The Go in South Carolina.
Ron Durham, president of Golden Gallon, will become a regional vice president for Bi-Lo.
Golden Gallon was started in 1959 by Lyle Finley and Ray Moss Jr.