The additional €185m loan at ASDA will refinance the GBP300m SSNs maturing in September 2026. The SSN coupon is 4.5%, which will be
Read MoreAllan Leighton has suggested that he may appoint a CEO who is not a traditional grocer, and the attached list has only one
Read MoreASDA will take time to turn around, but we still see significant equity under the bonds. The new Chair’s business plan will be published by
Read MoreThe departure of Stuart Rose as chair is a disappointment in the absence of a new CEO. However, Allan Leighton will take on an executive
Read MoreASDA is slowly clawing back the price support that has hurt margins (for all supermarkets), but there is still a lot of sensitivity to
Read MoreASDA is targeting to finish the implementation of its IT separation from Walmart by mid-February 2025. January will be a busy month
Read MoreThe loss of a senior executive to Morrisons before he even started work at ASDA is not a good look. However, the relative stability of Morrisons is
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Another disappointing quarter for topline, with food revenues -4.8% (-3.0% YTD). The issues in Q2 have not been resolved yet and we expect some further
Read MoreTDR is now formally the majority shareholder in ASDA having completed the acquisition of Zuber Issa’s 22.5% stake. The transaction
Read MoreThe new CEO is the appointment we are waiting for but
Read MoreThe till failure was limited and lasted only a short time, but ASDA needs to get on top of these glitches to avoid the
Read MoreThe departure of Mohsin Issa as ASDA CEO was expected, but the inability to get someone to take on the job is a puzzle. The separation of ASDA from
Read MoreMohsin Issa stepping down as CEO of ASDA was inevitable, with EG Group needing his attention. Stuart Rose (already the chair) will take over executive
Read MoreThe pay equality claim by ASDA staff is in court in early September, and the successful claim by Next staff will weigh on ASDA bonds. However, the case has
Read MoreThe IT issues at George are an embarrassment, but are pretty inevitable given the scale of the IT projects. The George issue is not a concern on
Read MoreNobody is surprised by the poor performance of ASDA in the 12 weeks to August 10th. Meanwhile, our thesis on the company is unchanged; as the cost-of-living crisis
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The Q2 topline was disappointing, but gross margin improvement is encouraging. 24H2 trading is going to be tough, albeit against some easier
Read MoreThe £30m additional spending on staff hours is a pinprick in cash terms, but when added to limited staff strikes and poor
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