Australia: Woolworths seeks approval for Beak and Johnston acquisition

Woolworths, the Australian supermarket chain, has filed for clearance with New Zealand’s Commerce Commission to acquire Beak & Johnston subsidiaries Beak & Johnston NZ Pty Ltd (BJNZ), B&J City Kitchen Pty Ltd (BJCK) and Alors.

Beak & Johnston is a manufacturer of chilled and frozen ready meals, soups and meat which are sold under brands such as Pitango, Ready Chef and Beak & Sons. BJCK and Alors do not operate in New Zealand, with BJCK supplying products to BJNZ. BJCK manufactures chilled meals and pies in Australia.

In a filing, the retailer said: “There is no horizontal overlap between the parties’ activities in New Zealand. Woolworths’ New Zealand subsidiaries do not undertake any relevant manufacturing operations in New Zealand, while BJNZ does not operate a retail grocery offering in New Zealand. Furthermore, while Woolworths New Zealand Limited (“WWNZ”) operates a wholesaling business unit (New Zealand Grocery Wholesalers (“NZGW”)), that business unit is simply a wholesaler of products sourced from other third-party manufacturers / suppliers”.

The acquisitions follow the opening of a 10,000 sq m pastry and ready meals production facility by Beak & Johnston at Arndell Park in Western Sydney, Australia.

Source: Inside FMCG / New Zealand government