UK: EG Group to sell 27 sites to ensure Asda deal
After Britain’s Competition and Markets Authority raised concerns over local competition, the Issa Brothers have offered to sell a number of stations.
EG Group owners have offered to sell 27 petrol stations to make sure their deal to buy supermarket chain Asda goes through.
The announcement comes after Competition and Markets Authority found "local competition concerns" after Zuber and Mohsin Issa agreed to buy Asda for £6.8 billion last year.
The Issa brothers will sell 27 of their 395 petrol stations to ease fears of potential fuel price hikes.
The CMA launched an initial inquiry into the takeover in December to see if it would lead to a "substantial lessening of competition".
The deal to acquire Asda and bring it back into British ownership was announced in October, and valued the supermarket business at £6.8bn.
Following the deal, the brothers committed to keeping Asda’s headquarters in Leeds and said they would be investing to grow its convenience and online operation.
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