THE Issa brothers and TDR Capital will sell Asda's petrol forecourts business to EG Group, which they also own, for £750 million ($1.03 billion) after they complete their deal to buy the British supermarket group from Walmart.
They said on Wednesday(3) that completion of the Asda acquisition was expected later this month.
In October, the Issa brothers and TDR agreed to buy a majority stake in Asda in a deal which gave the group an enterprise value of £6.8bn ($9.30bn).
In addition to selling Asda's forecourts business the Issa brothers and TDR plan to sell some of Asda's distribution assets to institutional real estate investors.
EG Group operates more than 6,000 forecourts globally. It said it expects the petrol station takeover to close in the second quarter, assuming the acquisition of Asda is cleared by the UK's competition regulator.
US giant Walmart, which has owned Asda since 1999, will retain a minority interest in the Big four grocer once the takeover gets the go ahead, reports said.
The takeover will mark the first time the supermarket chain has been under British ownership since 1999.
According to reports, the new Asda board will now comprise of Mohsin and Zuber Issa, TDR Capital partners Manjit Dale and Gary Lindsay, and Walmart executive vice president and chief financial officer Chris Nicholas. Asda chief executive Roger Burnley will also join the board.
Walmart put the chain on the market last July, a year after the UK's competition watchdog blocked a merger with rival chain Sainsbury's.
Currently, the competition markets authority (CMA) is investigating whether the latest takeover will head to higher prices for consumers. An outcome is expected in three months.
