Asda to buy Netto for £778m
May 28th 2010 Asda has reached agreement with Dansk Supermarked A/S to purchase its fully owned subsidiary, Netto Foodstores for £778m.
The transaction, which remains subject to regulatory approval, will enable it to convert Netto’s UK locations into Asda stores and integrate them into its new supermarkets division for units smaller than 25,000sq ft.
Asda expects to finalise the transaction after approval from the Office of Fair Trading later this summer and to complete the refurbishment of the Netto stores to trade under an Asda fascia by the middle of 2011.
Until official approval is granted, all Netto stores in the UK will continue operations as usual under existing management.
Asda’s move further into smaller stores is a bid to catch up with rivals such as Tesco and is expected to have considerable impact on its supply chain. More articles from Handling & Storage Solutions: | 
