Private Equity’s Massive UK Debt Binge Sparks Danger Warning (1)

For an idea of what private equity ownership can mean for ordinary people, UK grocers are a good place to start. Both <-bsp-bb-link state="{"bbHref":"bbg://securities/MRW%20LN%20Equity","_id":"0000018f-95c4-de3b-adcf-dfe7ff910000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Wm Morrison Supermarkets Ltd. and Asda have been laboring lately under giant debt burdens put on their shoulders by the financiers who bought them in 2021.

With the cost of servicing all that debt beginning to spiral, it’s not only the owners who have cause to worry. British lawmakers have hauled in Asda’s backers, including one of the tycoon <-bsp-bb-link state="{"bbHref":"bbg://news/stories/S6ZPXBDWX2PS","_id":"0000018f-95c4-de3b-adcf-dfe7ff920000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Issa brothers and PE firm <-bsp-bb-link state="{"bbHref":"bbg://securities/277924Z%20LN%20Equity","_id":"0000018f-95c4-de3b-adcf-dfe7ff920001","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">TDR Capital, at various points to grill them on everything from not passing ...