NEWS

Asda pays Wal-Mart biggest dividend for 12 years

Published on: 15th September 2016

The retailer has transferred £450m to a sister company owned by Wal-Mart.

Asda-480The dividend was the first Asda had paid to its parent company since 2009, when it paid £1.4bn.

It was transferred to Corinth Investments, owned by Wal-Mart Stores UK. Documents also show that a higher sum of £505m was then transferred from another Wal-Mart-owned company based in Britain to another company it owns in Amsterdam, Broadstreet European Holdings.

Despite sliding sales, the money was paid after Asda made record profits of £975m in the year to December 2015, a rise of 5.9% from the previous year. Sales have since dipped 3.7%.

Asda has stated that the payment was a “capital reduction, part of an exercise to simplify group structure”.

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