The billionaire Issa brothers have agreed a £600m deal for Asda to buy the Co-operative Group's 129-strong petrol forecourt chain.
The supermarket chain, which is owned by the Lancashire-based brothers alongside TDR Capital, will take over 5% of Co-op's entire retail estate - including 129 petrol stations and three development sites.
Asda already runs 230 petrol stations across the UK. In a statement, Manchester-headquartered Co-op said that offloading its petrol forecourts will allow it to focus on its convenience business as well as raising important cash for the group. READ MORE: Click here to sign up to the BusinessLive North West newsletter Asda will pay £438m in cash and take on around £162m of lease liabilities as part of the deal, with the final amount set to be confirmed on completion later this year, the PA news agency reported.
The cash will go towards funding new convenience stores in the heart of more communities, and reducing its net debt, the Co-op said.
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