Asda for IPO?
Speaking at the first managers meeting since the Competition and Markets Authority ruled against the supermarket’s proposed merger with J Sainsbury (SBRY), Judith McKenna, chief executive of Asda's parent company Walmart’s International business, said management was “seriously considering a path to an IPO”. Sainsbury and Asda had pitched their merger as “a dynamic new player… with the ability to further lower prices”, but with the deal now scrapped both have had to revert to their previous strategies. Sainsbury is focusing on investment in its store portfolio and digital capabilities, while Asda is taking the view that “ease is as important as price” for customers, investing in customer experience.
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