Asda’s co-owner is stepping back from a key role at the business, just months after his brother sold his stake in the supermarket chain.
Billionaire Mohsin Issa will step down from his executive leadership role of running the supermarket.
It comes after his brother, Zuber Issa, stepped down as co-chief executive in June. He sold his stake in the business to private equity company TDR Capital, who then became the majority owners.
The hunt for a chief executive continues, with the company saying it will provide an update on the search “in due course”.
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Taking up the reins in the interim after Wednesday’s announcement are Lord Stuart Rose, chairman of the Asda board, and Rob Hattrell an executive at TDR.
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Asda co-owner Zuber Issa sells his stake to private equity company TDR Capital
Mr Issa will remain co-owner of the chain, alongside private equity backer TDR Capital, and a non-executive on the board of the UK’s third-largest supermarket chain.
Mr Issa is to become the sole chief executive of the petrol station forecourts business EG Group, having signalled in March that he wished to hand over day to day running of the supermarket.
“I have decided now is the right time for me to step back from my oversight role at Asda to focus on EG Group as sole chief executive,” Mr Issa said.
“It is a very exciting time for EG Group, and I am looking forward to focusing on the business while supporting Stuart, Rob and the leadership team in my capacity as a shareholder of Asda.”
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The brothers bought Asda for £6.8bn, with the backing of TDR Capital, from US retailer Walmart in 2020.
Walmart still has a 10% holding in the supermarket group, while TDR Capital owns a 67.5% stake and Mr Issa the remaining 22.5%.
It comes as Asda’s market share fell when other major players rose. Roughly 20 years ago Sainsbury’s overtook it to become the UK’s second-largest supermarket chain.
