// Asda owner Walmart is looking to sell the grocer after the proposed Sainsbury’s merger collapsed
// British grocers remain an unappealing investment for a float on the London Stock Exchange
// Walmart has been reportedly approached by B&M
Asda’s parent company Walmart is considering selling the supermarket after the proposed merger with Sainsbury’s collapsed on April 25.
The US retail giant is mulling a float or sale as private equity firms and other suitors eye up Asda, according to The Daily Mail.
The news comes after the CMA blocked Asda’s proposed merger with Sainsbury’s two weeks ago, which would have resulted in Walmart having a 42 per cent in the combined business.
Nevertheless, British grocers remain as an unappealing investment for a float on the London Stock Exchange as recent years have seen grocery market shifting.
Consumers are now shopping once a week at one of the Big 4 – Tesco, Sainsbury’s, Asda and Morrisons – to a mix of convenience shops and online shopping while discounters such as Aldi and Lidl continue to win market share.
Meanwhile, Walmart has been reportedly approached by discounter B&M.
Walmart International boss Judith McKenna has said she will ensure Asda remains competitive in the UK market after the CMA’s decision.