The Office of Fair Trading has ruled that Asda’s acquisition of Netto will not be referred to the Competition Commission.

Asda will now start its 147 conversions, with the first Asda Supermarkets to be converted in Worksop, Wakefield and Stainforth in May.

Asda will invest £100m in converting the stores. Conversion is scheduled for the end of 2011 and, combined with organic growth, 168 stores will be added to its portfolio this year - the largest year of growth in its history.

The converted Netto stores will all trade under the Asda Supermarkets banner and average 8,000 sq ft in size. The aim is to offer a full weekly shop and Asda will be charging the same prices as in its larger superstores.

Alongside the conversions, Asda will open seven Asda Superstores, four Asda Livings, 10 new Supermarkets and five extensions.