EG Group to buy Asda’s forecourt business

The news comes after it was announced in October that EG Group and TDR Capital had reached an agreement to acquire a majority ownership stake in Asda Group.

EG’s acquisition of the forecourt business is subject to the same CMA regulatory clearance but is currently expected to close in the second quarter of 2021.

The forecourts will continue to be Asda branded.

Zuber Issa and Mohsin Issa, co-founders and co-chief executives of EG Group, said: “We are excited to have the opportunity to further strengthen our network in the UK through the proposed acquisition of Asda’s forecourt business, which will enhance our position as a major independent forecourt operator and provide a platform for future growth of the combined network.”

Roger Burnley, Asda chief executive, said: “Whilst the transaction remains subject to CMA approval, we will work closely with our new owners on how these Asda sites would operate as part of the EG Group under the Asda brand and ensure they continue to be a price leader in the fuel sector.”

He added: “During the final quarter of the year we delivered a strong performance delivering a 6.9% increase in sales during the 8 weeks to the 24 December, as well as doing the right thing for our colleagues by closing our stores on Boxing Day and allowing thousands of our hard-working people to spend more time with their family.”