CMA launches inquiry into £600m Asda forecourt c-stores deal

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The Competition and Markets Authority (CMA) has launched an inquiry into Asda’s proposed £600m acquisition of 129 Co-op forecourt convenience stores.

The CMA said the inquiry had started today and that it expected to make a decision on the first phase by March 14.

Asda announced it had reached a £600m agreement with c-store specialist the Co-op in October 2022 to purchase 129 convenience stores of between 1,500 and 3,000 sq ft, with attached petrol stations, and three development sites.

The sites also included the transfer of 2,300 workers from the Co-op to Asda.

The CMA is considering whether the transaction will result in a “substantial lessening of competition within any market or markets in the UK for goods or services”.

In response, an Asda spokesman said: “The acquisition of these sites is part of our long-term strategy to build a convenience business and bring Asda’s great value in fuel and groceries to more customers and communities throughout the UK.

“We referred the acquisition to the CMA when it was completed last October and look forward to working collaboratively with them in the coming months.”