Asda, the third-largest supermarket chain in the United Kingdom, announced that it has completed its acquisition of the EG Group’s UK business for an enterprise value of £2.07 billion ($2.52 billion), about £230 million less than the previous valuation from May of this year.

According to The Standard, “Asda said the discounted cost ‘reflects adjustments agreed between the two parties as they have worked through the detail of the transaction.’”

The acquisition of EG Group’s UK business will bring together convenience, fuel, grocery, foodservice and omnichannel retailing under the Asda brand.

The purchase is part of Asda’s strategic plan to expand its convenience offer. The company plans to roll out its c-store brand, Asda Express, to the EG Group’s 356 predominantly freehold sites. The transaction builds on Asda’s acquisition of 119 convenience sites with attached petrol filling stations from the Co-op Group, which began to convert to Asda Express earlier this month.

“With the deal complete, we can focus on delivering the growth opportunities,” said Mohsin Issa, co-owner of Asda. “That means lowering the price of fuel for more motorists, bringing Asda’s great value and quality to more communities, offering greater opportunities to our supplier partners and creating sustainable job opportunities for colleagues in our stores and depots.”

According to a statement from Asda, the EG and Co-op acquisitions, plus the three Asda Express stores currently open, give Asda 478 convenience stores today, with a commitment to opening another 300 stand-alone convenience stores by the end of 2026. 

Brothers Zuber and Mohsin Issa, along with private equity group TDR Capital, own both EG Group and Asda.

The EG Group said that it intends to use proceeds from the deal to repay debt, reducing its net leverage and enabling $3.2 billion of loans to be extended to February 2028, reported Reuters.

In August, Casey’s announced it was acquiring some EG Group stores in the United States.