Asda responds to CMA’s Phase 1 decision
Asda has given its response today to what was expected to be a decision by the Competition and Markets Authority (CMA) to begin a Phase 1 investigation into its acquisition of 132 grocery retail sites with attached gas stations from The Co-op. These sites were previously owned by the Co-op.
Asda’s acquisition of these sites is part of the company’s long-term strategy to build a convenience business and bring Asda’s great value in fuel and groceries to more customers and communities across the UK, according to a spokesperson for the company. When the acquisition was finalized in October of last year, we referred it to the CMA, and we are looking forward to working collaboratively with them in the months to come.
The acquisition consists of 129 convenience stores ranging in size from 1,500 to 3,000 square feet, each of which has an attached gas station, as well as three development sites. Following consultation with USDAW, approximately 2,300 colleagues who are currently employed by the co-op will be transferred to Asda as part of a TUPE transfer in the coming months.
Although the acquisition was officially finalized and completed in October of last year, and Asda now owns all 132 locations, the deal is still waiting for regulatory approval from the CMA.