Asda billionaires clear takeover hurdle with forecourt sale

The Issa brothers look set to take over Asda’s petrol stations in a £750 million deal after selling off a number of their own sites.

They bought the Big 4 grocer for £6.8 billion last year, but found a separate agreement to buy its forecourts blocked by a watchdog.

The Competition and Markets Authority (CMA) warned the merger “could lead to higher prices for motorists”, given that the Issa’s EG Group owns hundreds of petrol stations in the UK.

“It’s important that we thoroughly analyse the deal to make sure that people don’t end up paying over the odds,” senior director Joel Bamford said.

READ MORE: Asda owners ponder selling off petrol station empire

It agreed to clear the merger when the brothers said they would offload 27 EG sites.

That sale, for an unspecified amount, has now been agreed with Bromley-based Park Garage Group.

All EG employees at the forecourts will reportedly be transferred over to the new owners.

Park Garage bosses Balraj and Sunil Tandon said the acquisition would allow their sons to “further build our industry footprint”.

The Issas reportedly plan to break up their global forecourt empire for up to £10.8 billion, with sites in Australia expected to be the first to go.

However, they are expected to keep hold of their UK locations.

Click here to sign up to Grocery Gazette’s free daily email newsletter

FinancePeopleSupermarkets

RELATED POSTS

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.

Menu

SUBSCRIBE TO OUR NEWSLETTER

Sign up to our daily newsletter to get all the latest retail tech news and insights direct to your inbox.

  • This field is for validation purposes and should be left unchanged.