The billionaire brothers behind Asda's £6.8billion takeover are reportedly planning to open more than 300 convenience stores across their petrol station estate.
Mohsin and Zuber Issa want to roll out “Asda on the Move” stores in their EG Group forecourts following a successful trial, according to The Sunday Times.
The siblings, who own around 400 petrol stations, have already introduced the new convenience store concept in five of their forecourts.
The first "Asda on the Move" site opened in Walsall in October 2020.
The Issa brothers acquired Asda this year with the private equity firm TDR Capital in a deal that saw the supermarket return to majority UK ownership for the first time in two decades.
In June this year, the pair agreed to sell off 27 fuel stations for the takeover to go ahead following a probe by the competitions watchdog.
The Competition and Markets Authority (CMA) had launched a probe into the deal in April due to fears that the acquisition could increase petrol prices for motorists.
At the time of the CMA approving the takeover, EG Group operated 395 petrol stations while Asda owned 323 sites.
The Issa brothers, who started Euro Garages from a single forecourt in Greater Manchester, said they were "very proud to be investing in Asda".
Do you think Asda needs more convenience stores? Let us kno w in the comments.
Asda's new owners are also understood to be looking at plans to open supermarkets of between 30,000 and 40,000 sq ft in locations including high streets and out-of-town retail parks.
Asda owner Walmart put the retailer up for sale after its much-discussed merger with Sainsbury’s was blocked last year.
A source told The Sunday Times: "The fact Asda has not had a convenience retail offer, when convenience and discount retail are the only two growing categories... that kind of tells you how asleep at the switch [Asda's previous owner] Walmart was."
Asda declined to comment when contacted by The Mirror today.
The reports of Asda expanding its convenience stores comes after McColl’s confirmed it will accelerate its partnership with supermarket Morrisons with a £30million cash boost.
McColl’s wants to convert hundreds of its sites to Morrisons Daily formats.
