Asda takeover completes as Issa brothers split made official

Asda is now under the majority control of private equity giant TDR Capital after billionaire Zuber Issa sold his shares in the supermarket giant.

Funds managed by TDR Capital now hold a 67.5 per cent stake in the Leeds-headquartered company while Zuber’s brother Mohsin Issa retains his 22.5 per cent holding.

A further 10 per cent is held by previous owner, Walmart.

The deal, which completed today (Friday, 1 November), was first announced in June.

At the time, it was expected that the deal would be finalised in the third quarter of 2024.

Despite the Issa brothers no longer working together on Asda, they are still involved in a number of business interests.

Asda now majority owned by TDR Capital

In a statement, Asda said: Following the announcement of the proposed transaction in June 2024, today Asda has confirmed that funds managed by TDR Capital LLP have completed the acquisition of Zuber Issa’s shares in the business.

“This brings the ownership of Asda to 67.5 per cent by TDR Capital, 22.5 per cent by Mohsin Issa, and 10 per cent by Walmart Inc.

“Following completion of the sale of his stake in Asda, Zuber Issa has stepped down from his non-executive role on Asda’s board.

“Asda’s board now comprises Lord Rose, Alison Carnwath, Mohsin Issa, Rob Hattrell, Gary Lindsay and Courtney Naudo.”

Since the deal was announced, it was confirmed that Mohsin Issa would step away from his executive leadership role to focus on his position as sole chief executive of petrol forecourts business, EG Group.

The supermarket chain is continuing its three-year search for a chief executive “to lead the business in the next phase of its strategy” and said it will update the market “in due course”.

Mohsin and his brother Zuber – together with TDR Capital – bought Asda in 2021 in a debt-fulled takeover, and Mohsin has since been heavily involved in the day-to-day running of the company.