The logo of refinery and fuel distributor Viva Energy is seen in Corio, Victoria, Australia, June 28, 2020. REUTERS/Sonali Paul
Sept 21 (Reuters) – Coles Group ( COL.AX ), Australia’s No. 2 grocer, has agreed to sell its fuel and convenience retail unit to energy producer Viva Energy ( VEA.AX ) for A$300 million ($200.64 million) in a turnaround. It focuses on omnichannel supermarket and liquor businesses.
The companies announced on Wednesday that Coles Express will operate as an independent business unit within Viva Energy, which operates 710 stations nationwide.
In the year In the 2022 fiscal year, Coles Express generated sales of A$1.13 billion, 2.9 percent of the company’s total consolidated revenue of A$39.37 billion.
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“Viva is well placed to take advantage of the opportunities to grow the Express business going forward,” Coles chief executive Steven Cain said in a statement.
The deal is expected to close in the second half of FY23, subject to approval from the Australian Competition and Consumer Commission and the Foreign Investment Review Board, Viva said.
($1 = 1.4952 Australian dollars)
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Reporting by Himanshi Akand in Bengaluru; Editing by Shinjini Ganguly
Our Standards: The Thomson Reuters Trust Principles.
