Supermarket group Asda has completed its acquisition of 132 grocery retail sites with attached petrol stations from The Co-operative Group for a cash value of £438m.
The transaction, which was announced at the end of August, had a total value of approximately £600m including IFRS16 lease liabilities of approximately £162m.
The deal included 129 existing sites across the UK with retail stores of between 1,500 and 3,000 sq ft and attached petrol stations, plus three development sites.
Around 2,300 Co-op employees will transfer to Asda as part of the agreement.
Co-op said it would use the proceeds to reinvest in its core convenience business and reduce net debt.
Asda currently operates 320 petrol stations across the UK.
Mohsin Issa, co-owner of Asda, said that the retailer was “committed to bringing Asda’s great value groceries and fuel to even more communities across the UK” through the newly acquired stores.
Although the sale of the sites has been formally completed, the deal remains subject to regulatory review. The Competition and Markets Authority has issued an Initial Enforcement Order requiring that the Co-Op sites remain entirely separate from Asda during its investigation, a process that is expected to take until mid-2023.
