Asda Group has acquired EG Group’s UK & Ireland operations
Asda has announced its acquisition of EG Group’s UK and Ireland operations as part of the supermarket’s strategy to grow further in the convenience channel.
At a value of £2.27billion, the new buy-up aims to bring even more customers to the supermarket chain and accelerate its presence in the convenience sector, omni-channel retail and foodservice markets.
Stuart Rose, chair of Asda, said: “Asda’s acquisition of EG UK and Ireland will create a consumer champion like the UK has never seen.
“Throughout my career in retail, one thing has always been true – that meeting the evolving needs of customers is the route to growth.”
The EG Group’s UK and Ireland business consists of 350 petrol filling stations and more than 1,000 food to go locations, which Asda estimates will allow the supermarket to service around 21million customers per week.
Following the completion of the transaction, Asda has said it plans to invest more than £150million within the next three years to fully integrate the combined business.
This marks the latest move for Asda’s ambitious plans to tackle the convenience channel, which included the purchase of 132 retail sites from the Co-op earlier this year.
Moshin Issa, co-owner of Asda, said: “Asda is committed to saving customers precious time and money across their shopping baskets and on the forecourt.
“The combination of Asda and EG UK&I will be positive news for motorists, as we will be able to bring Asda’s highly competitive fuel offer to even more customers.
“I would like to sincerely thank all colleagues at both business for their ongoing efforts to serve our customers during tough economic times, and I look forward to welcoming our new colleagues from EG UK&I and expanding the Asda family further.”
