Issa brothers mull $35bn merger of Asda and EG Group

After the £6.8 billion acquisition of Asda, the owners of EG Group are now considering the merger of both businesses.

The Issa brothers are considering merging Asda with EG Group in a move that would create a combined business estimated to be worth more than £26 billion.

The billionaire brothers, who started their empire with a single petrol station in Bury, are looking at a range of ‘strategic alternatives’ for EG Group.

Asda and EG Group have been working together more closely in recent months, drawing up plans to expand foodservice at Asda locations and roll out ‘Asda On the Move’ convenience stores across EG Group filling stations.

A merger would also give EG Group greater bargaining power with suppliers and put it in a better position to compete with Canadian convenience store and petrol station giant Couche Tard, reports Retail Gazatte.

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