Woolworths to offload bottle shops, pokies and pubs in radical reshape
FIRST ON THE RUMOUR FILE
Woolworths has announced it is splitting its hospitality and liquor businesses from its supermarket business, before an expected spinoff of the new company next year.
The new entity, expected to be known as Endeavour Group Ltd, will combine more than 15,000 Dan Murphy’s and BWS stores, and over 300 ALH hotels.
John Stensholt, business journalist with The Australian, said the move was likely motivated by Woolworths desire to distance itself from the pokies.
“They’ve copped a bit of grief over the links to poker machines. There’s stigma there,” he told 3AW’s Kate and Quarters.
I think its pretty clear that really it is about the pokies.”
However the decision to separate the highly successful liquor business from the supermarket has come as a surprise.
Mr Stensholt said opinions are split over whether or not the move was a smart one.
“it’s still going to be, I think, a decent investment,” he said.
“But maybe this other business with the pokies and the booze might be better.”
Press PLAY below to hear more.