On 2 October 2020, it was announced that the shareholders in EG Group, the Issa brothers and TDR Capital LLP, had reached an agreement to acquire a majority ownership stake in Asda Group Limited (“Asda”). Today, EG Group is pleased to announce it has agreed to acquire certain assets of Asda, comprising its petrol filling stations, car washes and ancillary land (the “Forecourt Business”) for a headline enterprise value of £750m.

EG’s acquisition of the Forecourt Business is subject to the same CMA regulatory clearance being received by the Group’s shareholders for their acquisition of Asda. Subject to these approvals, the transaction is currently expected to close in the second quarter of 2021.

Financing options are currently being considered but, post-synergies, the transaction is expected to be leverage neutral and accretive to the Group’s financial performance. A detailed integration plan will ensure a seamless transition into EG Group’s UK operations, which have successfully integrated four significant acquisitions since 2015. The forecourts, which will remain an integral part of the broader retail locations where they are situated, will continue to be Asda branded and will remain a price leader in the fuel market.

Zuber Issa CBE and Mohsin Issa CBE, co-founders and co-CEOs of EG Group, in a joint statement, 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.”

About EG Group

EG Group is a leading global independent convenience retailer with a diversified portfolio of over 6,000 sites across ten countries in North America, Europe and Australia.

Founded in 2001 by Co-CEOs Mohsin and Zuber Issa with the acquisition of a single site in the UK, the Group provides an innovative approach to forecourt trading and a best-in-class customer experience for Grocery & Merchandise, Foodservice and Fuel; providing excellent service and good value, quality products at well maintained, convenient locations.

Our transformation has been built upon excellent relationships with a portfolio of international brand partners and strategic acquisitions, supported by our 44,000 employees globally who continuously deliver our products and services to up to 24 million customers per week and support the local communities in which we operate.