Struggling supermarket Asda has identified BrewDog chairman Allan Leighton as the man to turn its fortunes around.

The 71-year-old is returning to Britain’s third-largest supermarket as it seeks to halt a slump in sales.

Mr Leighton will take over from Lord (Stuart) Rose as Asda chairman this morning, returning to the business he ran for a spell between 1996 and 2001, during which he oversaw the company’s sale to Walmart in 1999.

His priority will be attempting to regain some of the market share lost by Asda since it was bought by private equity giant TDR Capital and the Issa brothers in February 2021.

Since the debt-fuelled £6.8billion sale, Asda’s share of the grocery market in the UK has fallen from 14.6% to 12.5%, fuelling criticism of how the company has been managed under the Issas’ stewardship.

Mr Leighton, who has previously been chairman at Co-op, Pandora and Royal Mail, has a blue-chip reputation and was drafted in as non-exec chair at BrewDog in 2001 amid criticism of the company's culture from former employees.

He was also brought in to mentor then chief executive James Watt, who has since stepped back form his role.

It is understood that Mr Leighton will remain in post at the Ellon craft brewer while he seeks to revive Asda.

Commenting on his return to Asda, Mr Leighton said: “Stuart has done an important job in helping to create a retailer with a presence in every format and I am delighted to be returning to the business which has always been a special place for me.

“The potential for Asda now is significant.”

Gary Lindsay, managing partner of TDR, said: “We would like to thank Stuart for the role he has played over the past three years and for the work he has done to help position Asda for long-term success.

“Asda today has both a leading superstore estate and a strong position in every format, and Allan’s experience and understanding of Asda will stand us in good stead as he leads the business into the next stage of its development.”

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