Asda co-owner Mohsin Issa steps back as hunt for CEO continues

Millionaire businessman pursuing ‘other opportunities’

Asda co-owner Mohsin Issa is stepping back from the day-to-day running of the supermarket to pursue other opportunities.

He will remain a director of Asda’s parent company EG Group but has passed his role as co-chief executive to his brother Zuber.

Zuber will now lead the business alongside Asda chief operating officer Anthony Hemmerdinger.

Exclusive: I'll never be a 'normal' CEO, says Mohsin Issa - the billionaire who bought Asda

Mohsin previously said ‘being a CEO is not for me’

The move comes after Mohsin admitted earlier this year that being a chief executive is “not for me”.

He previously told The Grocer that he preferred to focus on other areas of the business, such as property and petrol forecourts.

His decision to step back from Asda is likely to reignite speculation about the future of the supermarket, which is currently owned by private equity firm TDR Capital.

Issa brothers bought Asda in 2020

The Issa brothers bought Asda from Walmart for £6.8bn in 2020.

They have since invested heavily in the supermarket, including opening new stores, increasing staff wages and launching new products.

However, Asda has faced a number of challenges in recent months, including rising inflation and the cost of living crisis.

Asda's revenues rise

Despite these challenges, Asda’s revenues rose by 5.6% to £18.7bn in the six months to the end of September.

Sainsbury's boss warns UK food inflation has further to rise

The supermarket also reported a £130m increase in profits to £200m, although this was partly due to a one-off tax credit.

Asda is the UK’s third largest supermarket chain, with around 145,000 employees and 633 stores.

Conclusion

Asda co-owner Mohsin Issa is stepping back from the day-to-day running of the supermarket to pursue other opportunities.

He will remain a director of Asda’s parent company EG Group but has passed his role as co-chief executive to his brother Zuber.

The move is likely to reignite speculation about the future of Asda, which is currently owned by private equity firm TDR Capital.