EG Group owners ‘considering sale or flotation’ that could realise £10.8bn
The brothers behind Blackburn-based EG Group are said to be considering a sale of the worldwide business that could realise £10.8bn.
Mohsin and Zuber Issa are reportedly in talks with their advisors about their options, according to Bloomberg, which could include a stock market flotation.
A spokesman for EG said: “EG Group regularly works with its advisers to explore a wide range of options to create value in its portfolio.”
The brothers founded the business in 2001, following the acquisition of a petrol filling station and today it is a major player in the forecourt retail sector.
Earlier this year the Issa brothers acquired Leeds-based supermarket group Asda from US retail giant Walmart in a £6.8bn deal involving private equity firm TDR Capital.
TDR Capital took a minority stake in EG in 2015, valuing the business, then, at £1.3bn.
EG is also expanding into the restaurants industry.
Last year it bought 146 KFC restaurants in the UK and Ireland, followed by fast food chain Leon in April this year for £100m.
It is also believed to be stalking coffee shop chain Caffe Nero by buying up its debt.
Over recent years EG Group has extended its presence in the convenience stores and petrol stations sector following a series of acquisitions across the UK, Europe, US and Australia, and now operates approximately 6,000 sites around the globe.
City sources have said that prospective buyers for the group could include Seven & i Holdings, the Japanese firm behind 7-Eleven, as well as Alimentation Couche-Tarde, the owner of the Circle K convenience shops.
