British supermarket group Asda said on Wednesday its chairman, veteran retailer Stuart Rose, would assume the executive responsibilities of co-owner Mohsin Issa, who is stepping back from his leadership role.
The UK's third largest grocer has underperformed rivals, including market leader Tesco (TSCO.L) and No. 2 Sainsbury's (SBRY.L), over the last year, with monthly data consistently showing it to be the industry laggard.
Last month, Rose, who is a former CEO of Marks & Spencer, told the Telegraph newspaper he was "embarrassed" by Asda's performance.
Asda said Rose would work alongside Rob Hattrell, a partner at private equity firm TDR Capital, who was already a director on the supermarket group's board.
Asda is majority owned by Issa and TDR Capital, while U.S. giant Walmart (WMT.N), its previous owner, retains 10%.
"I have decided now is the right time for me to step back from my oversight role at Asda," said Issa.
He will remain a non-executive director but focus on his role as sole CEO of petrol forecourt operator EG Group.
Asda said it was progressing its search to recruit a chief executive to lead the business. It has been without a CEO since Roger Burnley left abruptly in 2021.
