Asda to sell 24 stores only to rent them back as it struggles with debt pile
The GMB union has criticised the sale as "asset stripping" and said staff morale is being hurt.
news.sky.comHere’s a concise update on the latest publicly reported news about Asda Stores Limited.
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Asda has been in the news for a significant property deal intended to shore up finances. Reports indicate the company agreed to sell 24 stores plus a depot for around £568 million and then lease the properties back to continue operating as usual. This move is described as part of a broader turnaround effort to reduce debt and improve financial flexibility. The announcements emphasized that store operations and staffing would remain unchanged in the near term. [Sources reporting the deal include outlets such as Yahoo News UK and RTÉ, both covering the £568m sale-and-leaseback arrangement and the rationale behind it.][1][2]
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The sale-and-leaseback involves multiple buyers: Blue Owl Capital acquiring several sites and a joint venture between Blue Owl and Supermarket Income REIT taking others, with four stores sold to DTZ Investors. Leases are planned for around 25 years with options to extend. Asda has stated the strategy is to unlock value from its estate while keeping operational control.[2][3][1]
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Reactions to the move have included commentary from industry observers and unions. Some reports quote the GMB union criticizing the action as asset stripping and expressing concern about staff morale, while Asda asserts there will be no changes to operations for employees.[3]
If you’d like, I can pull the most recent primary sources or provide a brief comparison of the property-portfolio strategy before and after these transactions, with direct quotes and dates. I can also look for any subsequent trading updates from Asda confirming their latest financial position.