UK Grocer Asda Seeks to Tackle Debt Wall With New Loan, Bond

  • UK’s third-largest supermarket seeks to refinance debt
  • Asda looking to secure term loan as early as next week

A shopper at an Asda store in London, UK.

Photographer: Hollie Adams/Bloomberg
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Asda Group Ltd. is planning a bond and loan issuance to help refinance the debt pile that supported its acquisition by gas-station entrepreneurs Mohsin and Zuber Issa, according to people familiar with the matter.

Britain’s third-largest supermarket chain is looking to raise £1.75 billion ($2.16 billion) through the bond sale, said the people, who asked not to be identified because they’re not authorized to speak publicly about the plans. Separately, it is also marketing a €1.05 billion ($1.1 billion) term loanBloomberg Terminal, according to an announcement seen by Bloomberg.