Asda has raised close to ￡600mn from two sale-and-leaseback deals as its private equity owner TDR Capital uses the retailer’s property assets to bolster its finances ahead of a looming debt repayment to previous owner Walmart.
The supermarket chain has struck a ￡467mn deal with New York-based asset manager Blue Owl to sell and lease back 20 stores and a depot in Lutterworth, Leicestershire, according to two people familiar with the transaction. Asda will rent the properties on 25-year leases with an option to extend by 10 years, the people added.
In a separate ￡101mn sale-and-leaseback deal, Asda is offloading four supermarkets in Birmingham, Greater London, Coventry and Leeds. These stores are being acquired by three local authority pension funds.