Woolworths Group has agreed to sell 5.5% of the issued capital of Endeavour Group via a block trade at a price of $6.46 per share.
Woolworths Group CEO Brad Banducci said: “Our decision to reduce our stake comes after a successful transition from ownership to partnership with Endeavour Group. The proceeds will be used for strategic investments and general corporate purposes.”
Following the sale, Woolworths Group will retain a 9.1% interest in Endeavour Group and has no intention to undertake a further selldown in the short to medium term.
Endeavour Group remains an important partner of Woolworths Group with a range of long-term partnership agreements in place. These include the provision of supply chain solutions through Primary Connect; a joint food and liquor offer through co-located BWS stores and online; payment services provided by WPay; and BWS a key partner as part of Everyday Rewards. “These partnerships remain on foot, with no connection to Woolworths Group’s ownership interest in Endeavour Group.”
“Woolworths Group confirms that it does not possess any information that is not generally available that a reasonable person would expect to have a material effect on the price or value of Endeavour Group’s securities.”
Further details will be disclosed once the sale has been finalised.