One of EG Group’s founders plans to leave the convenience retailer after more than 20 years of business, according to a report from Bloomberg News.
Zuber Issa, co-founder and co-CEO of EG Group, revealed his forthcoming resignation in a bond prospectus seen by Bloomberg.
According to that notice, the executive will leave his older brother and co-CEO, Mohsin Issa, who he founded EG Group with, in full control of the company.
Additionally, the bond prospectus noted that Salim Hasan, chief operating officer for EG Group, also plans to leave the company.
A spokesperson from EG Group declined to comment.
According to Bloomberg’s report, Zuber Issa and Hasan will only depart from the company once Issa “completes his own deal to buy a number of sites from EG Group.”
According to the Financial Times, those assets are located in the U.K. and Ireland, and a deal may occur “in the near term.”
Bloomberg’s report notes a potential transaction between Issa and EG Group would aim to lower the company’s debt, continuing a run of moves it’s already made in this direction over the past year.
That included its $1.5 billion sale-leaseback deal for up to 415 c-stores in the U.S., as well as the $2.5 billion sale of its c-store locations in the U.K. and Ireland to sister supermarket company Asda.
The news of Issa’s resignation coincides with news that EG Group is looking to exit its operations in Australia, according to Bloomberg.
The report also noted that there’s a “growing distance in the two brothers’ business interests.”
Issa, who co-founded EG Group with his brother in 2001, focuses his efforts on new-to-industry land banks, site investment and development, according to his company bio.
Prior to founding the company, he established several enterprises, including a chain of newsagents, in England.
Hasan, who has also been with EG Group since 2001, oversees the firm’s strategic growth and operational development, according to his company bio.
He helped lead EG Group’s entry into North America, and since 2019 has worked closely on the integration of Cumberland Farms convenience stores.
Blackburn, U.K.-based EG Group currently has more than 5,500 c-stores across the U.S., U.K. and Ireland, Europe and Australia.
EG America is EG Group’s largest operation globally, with 1,645 sites across 10 banners in 30 states, including Cumberland Farms, Fastrac, Kwik Shop and Tom Thumb.
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