Asda hires former boss to revive its fortunes

Allan Leighton is to make a comeback as boss of Asda as the private equity-backed supermarket tries to turn itself around.

Leighton, 71, who made his name at Asda, will replace Stuart Rose as executive chairman. Rose will leave after a transition period.

Rose has been at Asda since 2021 and took on day-to-day running in September when co-owner Mohsin Issa stepped down.

One of Leighton’s priorities will be appointing a full-time chief executive. Asda has been trying to hire a CEO for more than three years.

His move marks a return by one of Britain’s most high profile businessmen to the company. He was chief executive of Asda from 1996 to 2001. He also chaired the Co-op for nine years.

He was an integral member of the executive team that steered Asda away from the brink of bankruptcy in the early 1990s. The Leeds-based business was taken over by US supermarket giant Walmart in a £6.7 billion deal in 1999.

Struggle: Asda has been trying to hire a CEO for more than three years

Leighton said he was ‘delighted’ to be returning and that the ‘potential for Asda now is significant’.

But he will have plenty of work to do as Asda has struggled since private equity firm TDR Capital teamed up with the billionaire Issa brothers, Mohsin and Zuber, to buy the supermarket from Walmart for £6.8 billion in 2021.

DIY INVESTING PLATFORMS

Easy investing and ready-made portfolios

AJ Bell

Easy investing and ready-made portfolios

AJ Bell

Easy investing and ready-made portfolios

Free fund dealing and investment ideas

Hargreaves Lansdown

Free fund dealing and investment ideas

Hargreaves Lansdown

Free fund dealing and investment ideas

Flat-fee investing from £4.99 per month

interactive investor

Flat-fee investing from £4.99 per month

interactive investor

Flat-fee investing from £4.99 per month

Get £200 back in trading fees

Saxo

Get £200 back in trading fees

Saxo

Get £200 back in trading fees

Free dealing and no account fee

Trading 212

Free dealing and no account fee

Trading 212

Free dealing and no account fee

Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.

Compare the best investing account for you

***
Read more at DailyMail.co.uk