Viva Energy to acquire Coles Express convenience business
Viva Energy Group Limited announced that it will acquire the Coles Express convenience business from Coles Group, creating the largest fuel and convenience network in Australia under a single retail operator.
Viva Energy is a leading Australian energy company, supplying about a quarter of Australia’s fuel requirements through its extensive network of around 1,350 Shell and Liberty service stations across Australia.
Coles Express is one of Australia’s leading convenience retailers, with more than 700 stores across Australia offering quality Shell fuels and a wide range of food on the go.
This acquisition accelerates the company’s strategy to transition to a fully integrated fuel and convenience retailer and maintain its leading position in the attractive and fast-growing convenience segment.
“This is an exciting step for Viva Energy that will enable us to further extend our network, invest in new and innovative convenience offers across our stores, and enhance our loyalty and digital programs to simplify the way our customers transact with us,” said Scott Wyatt, Viva Energy’s chief executive officer.
“The pandemic has changed the way people work and how they shop. They are shopping more locally, and want more convenience and a wider range of quality products and services. In the future, customers will also be looking for convenient electric vehicle recharging options while they are on the road, and in time we can also expect to see hydrogen refuelling facilities at major highway service centres.
“Our nationwide network of more than 700 stores is ideally placed to meet these evolving needs and we are excited about the opportunity to expand and grow our fuel and convenience business with the acquisition of Coles Express and the retailing capability and customer service which is delivered by about 6,000 team members across the country.
“By bringing our two businesses together we will be better placed to make the investments and innovations which will be necessary to deliver more value to our customers and drive our future success. This will see the company transition to being a fully integrated retailer serving about 300,000 customers every day to meet their energy and convenience needs.
“Our relationship with Coles spans almost 20 years and we are delighted to continue in partnership with them following this acquisition. While the Coles Express brand will eventually be replaced, customers will be able to continue to redeem their Coles Shopper Dockets and earn Flybuys points, and in time we plan to broaden the range of loyalty and digital offers to provide even more value to our customers.”
The company will continue to retain the Shell brand.
The acquisition is subject to regulatory approvals and is expected to complete in the first half of 2023.