Affected market: Grocery retailing
1. Asda Stores Limited (Asda) is one of the UK's largest supermarket
chains and is a wholly owned subsidiary of the US retailer Wal-Mart
2. East of England Co-operative Society Limited (EECSL) operates food
retailing, travel, funeral services, optical and pharmacy services. This
case involves EECSL's food retailing business. Ardencrest Limited is a
subsidiary of EECSL.
3. Asda is to acquire from EECSL and Ardencrest Limited [see note
1] a store at Main Road, Dover Court, Harwich,
CO12 3HJ (Target).
4. On the basis of the information available to it, the OFT has decided
that the anticipated acquisition of the Target by Asda does not qualify
for investigation under the mergers provisions of the Enterprise Act
2002 (the Act), because neither the UK turnover test nor the share of
supply test in section 23 of the Act is met. [see note
2] A relevant merger situation has, therefore,
not been created.
note 1. Ardencrest Limited holds the legal title to the property on
which the Target is located.
note 2. The share of supply test in section 23 of the Act is not
satisfied at the national level, the regional level (East Anglia) or at
county level (Essex).
Published 2 November 2010