Asda / Arthur (Co-op) merger inquiry
| Case Outcome | Mergers - phase 1 clearance with undertakings in lieu |
| Subject Matter | Mergers |
| Date | 31 October 2022 |
| Court | Competition and Markets Authority (EW) |
| Decision Date | 31 October 2022 |
Completed acquisition by Asda Stores
Limited of Arthur Foodstores Limited
from Co-operative Group Limited
Decision that undertakings might be accepted
ME/7018/22
The CMA’s decision under section 73A(2) of the Enterprise Act 2002 that undertakings
might be accepted, given on 28 March 2023.
Introduction
1. On 30 October 2022, Asda Stores Limited (Asda) completed the purchase of Arthur
Foodstores Limited (Arthur) (the Merger). Arthur is a special purpose transaction
vehicle created by Co-operative Group Limited (the Co-op) to sell its 132 petrol
stations, with attached grocery stores. Asda is a wholly owned subsidiary of Asda
Group Limited (Asda Group), which is indirectly jointly controlled by Mr Zuber Issa
and Mr Mohsin Issa (together, Issa Brothers) and investment funds managed by
TDR Capital LLP (TDR). The Issa Brothers and TDR also jointly own EG Group
Limited (EG), which operates petrol filling stations (PFSs). The Issa Brothers, TDR,
Asda and Asda Group are together referred to as the Parties.
2. On 14 March 2023, the Competition and Markets Authority (CMA) decided under
section 22(1) of the Enterprise Act 2002 (the Act) that it is or may be the case that
the Merger constitutes a relevant merger situation that has resulted or may be
expected to result in a substantial lessening of competition (SLC) within a market or
markets in the United Kingdom (the SLC Decision).
3. On the date of the SLC Decision, the CMA gave notice pursuant to section
CMA did not refer the Merger for a phase 2 investigation pursuant to section
22(3)(b) on the date of the SLC Decision in order to allow the Parties the opportunity
to offer undertakings to the CMA in lieu of such reference for the purposes of
4. Pursuant to section 73A(1) of the Act, if a party wishes to offer undertakings for the
purposes of section 73(2) of the Act, it must do so within the five working day period
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