This article is from the Australian Property Journal archive
BP Australia has decided not to proceed with the $1.8 billion acquisition of Woolworths’ petrol stations and convenience business.
BP and Woolworths entered into talks in December 2016 which would have seeing Woolworth sell over 546 service stations and convenience stores.
But in December last year, the ACCC opposed the deal because it argued the deal would lessen competition.
BP supplies fuel to approximately 1,400 BP-branded service stations throughout Australia, setting fuel prices at roughly 350 of them, and more than 1,000 are owned and operated by our independent business partners
BP said n a statement, “Despite its best efforts, BP has determined the transaction cannot be structured to meet its strategic objectives,”
The company said the decision does not deter it from pursuing its strategy to transform the retail convenience sector in Australia.
Whilst the BP deal has fallen over, Woolworths is determined to find another buyer.
“Woolworths Group is continuing to engage actively with alternative options for its petrol business,” the company said in a statement.
Australian Property Journal
