Walmart Inc has agreed to sell its British supermarket chain Asda to private equity group TDR Capital and the founders of petrol station operator EG Group for 6.8 billion pounds ($8.8 billion).
Walmart said Asda would keep its headquarters in Leeds and its chief executive, Roger Burnley, would remain in place.
“We believe that our experience with EG Group, including our expertise around convenience and brand partnerships and our successful partnership with TDR Capital, can help to accelerate and execute that growth strategy,” they said.
The auction process for Asda has lasted for several months, BBC reports. Walmart decided to sell a controlling stake in Asda after shelving plans to float the business following a failed £7.3bn merger with Sainsbury’s, which was blocked on competition grounds.
Walmart bought Asda in 1999 for £6.7bn and it will retain a minority stake in the supermarket chain.
Meanwhile, the equity group is owned by two billionaire brothers from Blackburn, Zuber and Mohsin Issa.