Sainsbury’s and Asda agree a £13bn supermarket merger


Sainsbury’s has agreed to merge with supermarket rival Asda – and plans to maintain both brands.

The deal – likely to face close scrutiny by competition authorities – will create a grocery powerhouse overtaking Tesco as the number one player in the sector.

There are no plans to close Sainsbury’s or Asda stores on the Isle of Wight though executives are targeting savings of £500m, including “operational efficiencies” and by opening Argos concessions in Asda stores.

Sainsbury’s also said customers would see benefits including price cuts of 10% on many of the products that customers buy regularly.