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Asda appoints former Morrisons boss David Potts as chief executive

Summarised from 5 outlets · Updated 3 Nov, 09:55 · Archive

Asda has appointed David Potts, former chief executive of Morrisons, as its new chief executive with immediate effect.

Asda has appointed David Potts as its new chief executive, effective immediately. The 69-year-old former boss of Morrisons takes over from Allan Leighton, who becomes non-executive chairman after running the supermarket on a day-to-day basis since returning to the company in 2024. Leighton, who was originally Asda's chief executive during its 1990s heyday, had stepped back into a leadership role over two years ago as the company battled financial and operational difficulties.

Potts began his retail career at Tesco aged 16 and worked there for around four decades, eventually heading its UK business and Asian operations. He became chief executive of Morrisons in 2015 and remained in that position until 2023, when the supermarket was taken private by US investment firm Clayton, Dubilier & Rice. During his tenure at Morrisons, he spearheaded a turnaround of the company.

Asda remains the UK's third largest supermarket but has faced considerable challenges. Its sales fell by 0.5 per cent in the three months to 4 October according to market research group Worldpanel by Numerator. The company has been under pressure from discount grocers and is at risk of being overtaken by Aldi as the country's third-largest supermarket, with only about one percentage point separating them in market share. Asda has also carried significant debt since its 2020 takeover by private equity firm TDR Capital and billionaire businessmen the Issa brothers.

Leighton said the appointment marked the next stage of Asda's transformation. 'Over the last two years, we have stabilised the business and returned it to some growth and begun to establish Asda as more than a supermarket through our Formula for Growth strategy,' he said. 'David has an outstanding record in our industry, his experience is exactly what we now require for the next stage of our transformation and beyond.'

Potts acknowledged the challenges ahead. He said Asda 'has long been a great business' and that 'the colleagues are remarkable, some of the most passionate I've met'. He added that the firm has 'made good progress but significant opportunities remain' to reinvigorate sales, with a focus on keeping prices low for shoppers.

The appointment represents a change in direction for Asda, which had previously signalled that it would appoint a chief executive from within its existing leadership group. In August, Leighton told City AM that such an appointment was 'not imminent' and that the preference would be to promote from within the company's 'highly talented' executive ranks.

Asda appoints former Morrisons boss David Potts as chief executive
Image: Guardian World

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How it is being reported

In this story: David Potts · Allan Leighton · Asda · Morrisons · Tesco · Clayton, Dubilier & Rice · Aldi · Lidl

This summary was written by AI from the headlines and standfirsts above, and states as fact only what at least two outlets report. How we use AI · Report a problem · Corrections log