- Huw Hughes |
The new owners of British supermarket chain Asda are reportedly considering spinning off the company’s George clothing brand as they look to cut costs and spending.
Billionaire brothers Zuber and Mohsin Issa and private equity firm TDR Capital earlier this month completed their acquisition of Asda from Walmart for 6.8 billion pounds. Walmart has retained a minority stake in the business.
Asda’s new owners are now considering licensing George or introducing more fashion partnerships to Asda’s shops to use excess space because the brand is outside their area of expertise, The Times reports, citing senior industry sources.
However, one insider countered by saying George had been helping the company’s online sales.
Asda has previously announced a plan to pursue a partnership strategy that would see it link with more third-party brands.
Photo: George at Asda, Facebook