There are rumours concerning the future of UK based EG group

ISSA brothers own ASDA and EG Group Credit: ASDA Media Centre

THERE are rumours concerning the future of UK based EG group owned by the Issa Brothers who took over ASDA supermarkets for £6.8 billion (€7.8 billion).

The EG Group is now one of the largest independent owners of petrol stations in the world and was only formed in 2001 when the brothers purchased a single petrol station in Manchester.

By 2015 when a minority shareholding was taken by British private equity company TDR the business was valued at more than £1 billion (€1.15 billion).

Since then, the two parties worked together to takeover the ASDA supermarket chain from Walmart of the USA but the UK Competition and Markets Authority was unhappy with the fact that the EG and ASDA owned so may petrol stations.

The new owners offered to sell about 5 per cent of the ASDA sites in order to stall any major delay and ironically, it still looks as if the purchaser could be the EG Group.

Just a few days ago, it was announced that following a successful trial at five of the EG petrol stations, it was anticipated that more than 200 convenience stores branded ASDA on the move would be opened and that ASDA would act as a wholesaler to supply them with goods.

Now, a report from Bloomberg in North America suggests that the ‘consortium’ is considering placing EG on the stock market with an estimated value of £10.8 billion (€12.4 billion) which would show a very tidy return for the billionaire brothers and their partners.

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Written by

John Smith

Married to Ophelia in Gibraltar in 1978, John has spent much of his life travelling on security print and minting business and visited every continent except Antarctica. Having retired several years ago, the couple moved to their house in Estepona and John became a regular news writer for the EWN Media Group taking particular interest in Finance, Gibraltar and Costa del Sol Social Scene. Share your story with us by emailing [email protected], by calling +34 951 38 61 61 or by messaging our Facebook page www.facebook.com/EuroWeeklyNews

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