Manchester-based Co-operative Food has bought three Netto stores from Asda for an undisclosed sum.
The three stores in Whalley Range, Manchester, Birtley, County Durham, and Stanton Hill, Nottinghamshire, are being disposed of by Asda as a result of an Office of Fair Trading review of its acquisition of Netto.
The two businesses have exchanged contracts on the stores and the sale is expected to be completed later this year.
Co-operative food plans to expand its 2,800-strong food store network by 300 outlets in the next three years. There have been nine new store openings this year, including three in central London, with new stores planned for Edinburgh, Glasgow, Southampton, Liverpool, Manchester and Swansea, as well as other locations.
The three stores all have sales areas of around 5,000 sq ft and between them employ 42 staff, all of whom will transfer to yhe Co-operative Group.
David Roberts, director of property at the Co-operative Food, said: "These stores are a valuable addition to our portfolio and another important step in our expansion plans."