Highlights
- $9bn Nasdaq flotation is unlikely before 2027
- Market turmoil has raised concerns over the value of the listing
- Stonepeak has already shown early interest in buying the business
- Issa brothers built the group from one petrol station in Bury
BILLIONAIRE brothers Mohsin and Zuber Issa have delayed plans to float their US petrol station empire after a period of financial market turmoil.
EG Group, now known as Cumberland Farms, had been preparing to list on the Nasdaq stock market for $9 billion (£6.7bn). But the Issa brothers and private equity firm TDR Capital have put the plans on hold amid concerns that the flotation would raise less money than expected.
The decision was first reported by the Financial Times and the Telegraph.
The FT reported that the listing is now unlikely to take place before 2027.
According to reports, the delay comes after a major sell-off in bond markets pushed up government borrowing costs and affected share prices. Other companies, including smart ring maker Oura, have also delayed planned stock market listings amid weaker market conditions.
The decision to postpone the flotation could lead the owners to consider selling the business instead.
Stonepeak, an infrastructure investment firm, has already expressed early interest in acquiring the group, according to the Telegraph.
TDR Capital owns 50 per cent of the business, while Mohsin and Zuber Issa each hold 25 per cent.
Neither EG Group nor TDR Capital commented. Stonepeak was also approached for comment.
From one Bury petrol station to a global group
The Issa brothers started their business in 2001 when they bought a single petrol station in Bury, Greater Manchester.
They went on to build the company through acquisitions across Europe, the US and Australia. What began as Euro Garages became one of the world's largest forecourt operators.
The expansion was fuelled in part by an era of cheap borrowing and culminated in the £6.8bn takeover of Asda in 2021, carried out with TDR Capital.
Mohsin Issa remains a minority shareholder in Asda, while Zuber sold his stake in the supermarket in 2024. Zuber also stepped down as co-chief executive of EG Group that year, although he remains a director.
The brothers bought Cumberland Farms, a forecourt and retail business mainly operating in New England, in 2019.
EG Group has since sold most of its UK forecourt portfolio to Asda and no longer operates petrol stations or convenience stores in Britain.
The group has also been selling assets as it seeks to reduce its $5.8bn debt burden ahead of a possible stock market listing.
