Asda in £450m bid for Co-op’s petrol stations, according to Sky News
The chain is in talks to buy the business as it prepares to move further into the UK’s convenience store market, according to Sky News.
The deal could be confirmed as soon as this week although it is reported that other businesses are still interested in putting in bids for the assets.
Advertisement
Hide AdAdvertisement
Hide AdAsda – which runs 320 petrol stations across the UK – was taken over by the Issa Brothers and TDR Capital last year.
It agreed to sell 27 of its forecourts in order to secure the acquisition following competition concerns by the regulator.
But the billionaire brothers behind Issa Brothers abandoned a £750 million plan to fold Asda’s petrol forecourts into its filling station empire in October.
Issa Brothers and TDR Capital also own EG Group, one of Europe’s largest independent fuel retailers, but people close to the auction process confirmed that Asda, not EG Group, is leading the talks with Co-op, Sky News reported.
Advertisement
Hide AdAdvertisement
Hide AdIf the acquisition goes ahead, Co-op’s approximately 130 petrol stations would move into Asda’s hands where it would be more closely tied up with the UK’s food retailing market.
Asda and the Co-op Group both declined to comment on the speculation.