British supermarket group Asda said its chairman, veteran retailer Stuart Rose, would assume the executive responsibilities of co-owner Mohsin Issa, who is stepping back from his leadership role.
The UK’s third largest grocer has underperformed rivals, including market leader Tesco (TSCO.L) and No. 2 Sainsbury’s (SBRY.L), over the last year, with monthly data consistently showing it to be the industry laggard.
Last month, Rose, who is a former CEO of Marks & Spencer, told the Telegraph newspaper he was “embarrassed” by Asda’s performance.
Asda said Rose would work alongside Rob Hattrell, a partner at private equity firm TDR Capital, who was already a director on the supermarket group’s board.
Asda is majority owned by Issa and TDR Capital, while US giant Walmart (WMT.N), its previous owner, retains 10 per cent.
“I have decided now is the right time for me to step back from my oversight role at Asda,” said Issa.
He will remain a non-executive director but focus on his role as sole CEO of petrol forecourt operator EG Group.
Asda said it was progressing its search to recruit a chief executive to lead the business. It has been without a CEO since Roger Burnley left abruptly in 2021.
