The Sainsbury’s and Asda merger could force the sale of 463 stores.
The Competition and Market Authority has identified 463 locations where both of the stores overlap, which could mean that some stores could have to close on a local and national level.
Although the initial number of store closures sounds high, analysts expect the final number should be a lot lower.
A spokesperson for Sainsbury’s and Asda said: “We welcome the start of the phase two process. The grocery market has changed significantly in the last decade and is more competitive than ever, with the rise of discount formats, online grocery and food delivery businesses.
“We look forward to working with the CMA on the phase two inquiry, where we expect it to conduct a full review of the market and take these changed market dynamics into consideration. Customers will be the big winners from this combination.”
The merger between the two brands was announced back in April, leading to a store network of 2,800 and combined revenue of £51bn.
