LONDON - Britain's Competition and Markets Authority watchdog on Thursday blocked the merger of supermarket giant Sainsbury's and Walmart-owned Asda, arguing it would result in higher prices and less choice. The deal has now floundered one year after Sainsbury's and Asda unveiled their merger plans, which sought to create a retail king to leapfrog UK number one Tesco. In reaction, Asda and Sainsbury's announced that they have "mutually agreed to terminate the transaction". The merger would have created a supermarket titan bigger than Tesco with a network of some 2,800 Sainsbury's, Asda and Argos stores. The sector also faces fierce competition from the likes of online US titan Amazon -- and German-owned discounters Aldi and Lidl.
Source: Bangkok Post April 25, 2019 06:45 UTC