Grocers brace for takeover decision

SAINSBURY’S is set to learn the fate of its proposed £14bn merger with rival Asda as it battles to revive falling sales.

The Big Four supermarket could find out tomorrow whether the Competition and Markets Authority (CMA) has backed the deal.

A merger has been declared ‘dead in the water’ after the watchdog said in its provisional findings that it should be blocked entirely or require the sale of hundreds of supermarkets.

One analyst said: ‘I would think that the CMA is unlikely to U-turn given the way that the provisional findings were set out.’ Markets are preparing for the CMA to block the deal.

The decision could spark a major shake-up of Sainsbury’s senior team amid uncertainty over chief executive Mike Coupe’s future.

It has hired former RSA Insurance boss Martin Scicluna as chairman, who could order a major review of the top team if the deal falls.