// West Lancashire MP Ashley Dalton has warned the merger between Asda and EG will hit jobs in her county and beyond.
// Dalton has called on the business secretary to investigate the deal
Asda’s acquisition of EG Group’s UK and Ireland operations willl threaten jobs according to West Lancashire MP Ashley Dalton who has urged the CMA to intervene on the deal.
Labour MP Dalton has requested business secretary Kemi Badenoch to investigate the ‘debt-laden’ deal, LancsLive reported, as she highlighted that it could add a further £7bn to Asda’s already £4.7bn debt pile.
Plans for the merger between the Issa Brothers-owned businesses were first reported in January and were confirmed last month.
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Following the announcement, EG Group launched a three-year amend and extend of its $3.4bn of loans due to 2025 and 2026 to help reduce its net debt.
“The merger looks set to hugely increase the debt burden on Asda, which will threaten jobs in Skelmersdale, across West Lancs and beyond as well as the future of the company,” Dalton said.
“As one of the largest private sector employers in the UK, the future sustainability of Asda is important to my constituents that work there. Their livelihoods rely on it.”
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