Asda poised to announce £10bn merger with petrol stations group EG

Deal would help Asda move into convenience retailing and cut costs at merged entity by about 100m, as well as reduce EG's debts

Asda is finalising a deal to buy its sister business EG Group's UK and Irish petrol forecourts in a deal worth 3bn, allowing the supermarket to step up its shift into convenience retailing.

The businesses are expected to formally announce a long-awaited tie-up in the next few days, which will create a combined business worth about 10bn.