Asda Secures £155 Million Loan for Debt Relief

Asda, the UK's third-largest supermarket, has secured a £155 million loan to address £310 million of debt maturing in 2025 and 2026. This funding, combined with cash from its balance sheet, follows a £3.2 billion refinancing completed in May, allowing Asda to push its near-term debt maturities into the next decade. The loan marks the first major action since Allan Leighton returned as executive chairman, with Asda battling declining market share against competitors like Tesco and Sainsbury's. Asda reported a 4.8% drop in like-for-like sales in the third quarter and faces an additional £100 million in costs due to new government policies. With net debt at £3.8 billion, the supermarket's financial strategies will be crucial for its recovery amid increasing operational challenges. Asda remains committed to managing its capital structure prudently in the long term.