Ministers could block Issa plan for £12bn merged business

The government could block plans by the Issa brothers to merge their businesses into a £12bn retail empire. The Blackburn-based brothers are planning to merge their forecourts business with Asda, which they took control of in 2021 in a £6.8bn deal back by TDR Capital. A combination of Asda and EG Group in the UK would create a sprawling group with 581 supermarkets, 700 petrol forecourts and more than 100 convenience stores. EG Group is not countenancing selling off entire operating businesses, on the grounds that valuations are depressed at present, although it may do so in the future. The Competition and Markets Authority has not confirmed whether it would be willing to scrutinise the transaction. However, Kevin Hollinrake, the small business minister, said business secretary Grant Schapps had “already raised concerns about fuel prices with the Competition and Markets Authority and directly with retailers and we would consider very carefully anything that might undermine competitive market forces”. The Times (£)