| Coles Group Limited | |
|---|---|
| Type | |
| Founded | 1914 – Business 1929 – Public Company 1986 – Coles Myer 2006 – Coles Group 2007 – acquired by Wesfarmers |
| Headquarters | |
| Products | Retail and Consumer Services |
| Employees | 165,000+ |
| Subsidiaries | Coles Supermarkets, Bi-Lo, Pick 'n Pay Hypermarkets, Coles Express, Coles Central, Liquorland, Vintage Cellars, 1st Choice Liquor Superstore, Officeworks, Kmart, Kmart Tyre & Auto Service, Target, Target Country, Target Home, Harris Technology, Pharmacy Direct |
Coles Group Limited (formerly Coles Myer Limited) was an Australian public company that operated numerous retail chains. Year 1914 ( MCMXIV) was a Common year starting on Thursday (link will display the full calendar of the Gregorian calendar (or a Common year Year 1929 ( MCMXXIX) was a Common year starting on Tuesday (link will display the full calendar of the Gregorian calendar. Year 1986 ( MCMLXXXVI) was a Common year starting on Wednesday (link displays 1986 Gregorian calendar) Year 2006 ( MMVI) was a Common year starting on Sunday of the Gregorian calendar. Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century. Hawthorn East, is a Suburb of Melbourne, Australia, in the state of Victoria. For a topic outline on this subject see List of basic Australia topics. In Marketing, a product is anything that can be offered to a Market that might satisfy a want or need Employment is a Contract between two parties, one being the employer and the other being the employee. A subsidiary, in business matters is an entity that is controlled by a bigger and more powerful entity For a topic outline on this subject see List of basic Australia topics. It was Australia's second-largest retailer, behind Woolworths Limited. Woolworths Limited is a major Australian company with extensive retail interest throughout Australia and New Zealand. It was acquired by Western Australian public company Wesfarmers, with transfer of ownership on 23 November 2007. Western Australia is a state occupying the entire western third of the Australian continent. Wesfarmers ( is one of Australia ’s largest public companies and Australia's largest retailer with its headquarters in Perth Western Australia. Events 800 - Charlemagne arrives at Rome to investigate the alleged crimes of Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century.
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Sidney Myer arrived in Melbourne in 1899 as a penniless immigrant, working briefly at a drapery store before moving to Bendigo where he and his brother opened the first Myer store in 1900. Sidney Baevski Myer, born Simcha Myer Baevski ( 8 February 1878 – 5 September 1934) was an Australian Businessman Myer is Australia 's largest chain of Department stores retailing a broad range of merchandise including women's men's and children's clothing footwear and accessories A second store opened in 1908. In 1911 Myer bought a drapery store in Bourke Street, Melbourne, which later became the flagship Myer store, the Myer Emporium. Bourke Street Mall Redevjpg|thumb|200px|Bourke Street Mall during redevelopment]] Bourke Street is a major street in the central business district (CBD of Melbourne Myer expanded to Adelaide, acquiring a shareholding in Marshall's department store in 1925, later renaming this company as Myer SA Stores Ltd. Expansion across Australia followed. [1] (Myer is now owned by Newbridge Company. It was bought from Coles Myer in 2006 causing the name change to Coles Group. )
Separately, in 1914, the first Coles "variety store" was opened in Melbourne. Year 1914 ( MCMXIV) was a Common year starting on Thursday (link will display the full calendar of the Gregorian calendar (or a Common year Coles was founded in 1914 by George Coles when he opened what was called the "Coles Variety Store" in Smith Street in the Melbourne suburb of Collingwood. Year 1914 ( MCMXIV) was a Common year starting on Thursday (link will display the full calendar of the Gregorian calendar (or a Common year George Coles was the founder of what was to become the Coles Group shopping empire Melbourne ( is the second most populous city in Australia, with a Metropolitan area population of approximately 3 Collingwood is an Inner city Suburb in Melbourne, Victoria, Australia. More stores opened and the chain was regarded as the leaders in providing value to Australian shoppers.
Coles was run in succession by members of the Coles family from 1914 until the mid-1970s by the "famous five knights", brothers Sir George, Sir Arthur, Sir Edgar, Sir Kenneth and Sir Norman — known by their first initials — GJ, AW, EB, KF, NC. Arthur William Coles (7 August 1892 - 14 June 1982 later Sir Arthur Coles, was a prominent Australian Businessman and Philanthropist. [2]
In 1960, the first supermarket was opened in Melbourne suburb, North Balwyn and in 1973, a Coles store had been established in all capital cities of the country. Year 1960 ( MCMLX) was a Leap year starting on Friday (link will display full calendar of the Gregorian calendar. Balwyn North is a Suburb of Melbourne, Australia, in the state of Victoria. Year 1973 ( MCMLXXIII) was a Common year starting on Monday (link will display full calendar of the 1973 Gregorian calendar.
Kmart Australia Limited was born out of a joint venture between G. J Coles & Coy (Coles) and Kmart Corporation in the US. Sears Holdings Corporation ( is the sixth largest retailer in the United States, behind Wal-Mart, The Home Depot, Costco, Target The first store opened in the Melbourne suburb of Burwood in 1969. [3]
In 1978 Coles acquired full ownership of the Australian K-Mart operation and in 1994 bought back all shares Kmart Corporation held in Coles Myer.
A long-term licensing agreement allows Coles Group to use the Kmart name. Kmart New Zealand shares merchandise and branding with Kmart Australia, and is owned by Coles Group Holdings New Zealand.
In Australia, BI-LO was established by John Weekes in Adelaide during the late 1970s. For a topic outline on this subject see List of basic Australia topics. Adelaide is the capital and most populous city of the Australian state of South Australia, and is the fifth largest city in Australia with a This article is about the Decade 1970-1979 For the Year 1970 see 1970. It is a major supermarket chain owned and operated by retail giant Coles Group in parallel to Coles Supermarkets. Coles Supermarkets is an Australian supermarket chain owned by Wesfarmers (formerly Coles Group before its acquisition on 23 November It has more than 200 stores in Australia.
In 1996, BI-LO acquired the six-store Newmart discount supermarket chain in Western Australia which then became the equivalent to BI-LO in Western Australia. By August 2002, it grew to 16 stores before being transferred to the management and being re branded as Coles, though some stores were sold off to FAL and became Action Supermarkets. Coles Supermarkets is an Australian supermarket chain owned by Wesfarmers (formerly Coles Group before its acquisition on 23 November Action (formerly Action Food Barns and Action Supermarkets) is a defunct Australian Supermarket chain
Both chains grew throughout Australia through growth and acquisitions, and both independently listed on the Australian Stock Exchange. The Australian Securities Exchange ( ASX) is the primary Stock exchange in Australia.
By the 1980s, Coles primarily operated supermarkets, whilst Myer operated a chain of mid-market department stores, as well as the Target Discount variety store chain in Australia. The 1980s was the decade spanning from January 1 1980 to December 31 1989. Customer divider barjpg|thumb|In supermarkets sellers periodically change prices for classes of goods in response to market conditions rather than negotiating the price of each good A department store is a Retail establishment which specializes in selling a wide range of products without a single predominant merchandise line. Target Australia Pty Ltd is an Australian department store chain owned by Wesfarmers (formerly by Coles Group) In August 1985, the Myer Emporium Ltd and GJ Coles & Coy Ltd merged, becoming the largest ever Australian Corporation. Year 1985 ( MCMLXXXV) was a Common year starting on Tuesday (link displays 1985 Gregorian calendar) The official name change to "Coles Myer Limited" followed in January 1986. Year 1986 ( MCMLXXXVI) was a Common year starting on Wednesday (link displays 1986 Gregorian calendar) [4]
The office stationery chain Officeworks, based on the US chain Office Depot, was established in 1993 with the first store opening in the Melbourne suburb of Richmond in June 1994. Officeworks is a chain of Australian office supplies stores which was established in the early 1990s by Coles Myer (which became Coles Group, now part of Office Depot ( is a supplier of office products and services The Company's selection of brand name office supplies includes business machines computers computer software and office Melbourne ( is the second most populous city in Australia, with a Metropolitan area population of approximately 3 Richmond is an Inner city Suburb of Melbourne, Victoria, Australia. This represented a successful introduction of a "category killer" - by comparison, around the same time Coles unsuccessfully attempted to negate the arrival of Toys R Us with the short-lived chain World 4 Kids. Toys "R" Us ( currently typeset as Toys Я Us in the logo and before as Toys "Я" Us) is a Toy store chain based
In 1996, the operations of Target and Fosseys (earlier "Coles Fosseys") merged and the first Baby Target speciality store was opened, followed in 1998 by Target Home. Year 1996 ( MCMXCVI) was a Leap year starting on Monday (link will display full 1996 Gregorian calendar) Target Australia Pty Ltd is an Australian department store chain owned by Wesfarmers (formerly by Coles Group) Year 1998 ( MCMXCVIII) was a Common year starting on Thursday (link will display full 1998 Gregorian calendar) In 1999, regional Fosseys stores were re-badged as Target Country, with metropolitan stores closed. Following Target's operating loss of $43m in 2001, the chain's format was repositioned to compete less with Kmart, Woolworths Limited's Big W, Harris Scarfe and The Warehouse, and more with Myer, with a focus on "middle class" quality products, especially clothing and home wares. Kmart Australia is a discount department store chain that operates in Australia (and New Zealand trading as Kmart New Zealand Woolworths Limited is a major Australian company with extensive retail interest throughout Australia and New Zealand. Big W is the second-largest chain of discount department stores in Australia with over 140 stores Harris Scarfe Department Stores was founded in South Australia in 1850 in Adelaide South Australia The Warehouse, ( founded by Stephen Tindall in 1982 is the largest Department store Retailer operating in New Zealand.
In 1998, Myer opened the first Megamart store, in Coorparoo, Queensland. Year 1998 ( MCMXCVIII) was a Common year starting on Thursday (link will display full 1998 Gregorian calendar) Coorparoo is a southern Suburb of Brisbane, Queensland, Australia, located approximately four Kilometres from the city
Harris Technology, a computer hardware and software reseller started by Ron Harris in 1986, was acquired in 1999. Harris Technology Pty Ltd is an Australian electronics retailler owned by Officeworks, a subsidiary of Wesfarmers. Year 1986 ( MCMLXXXVI) was a Common year starting on Wednesday (link displays 1986 Gregorian calendar) Year 1999 ( MCMXCIX) was a Common year starting on Friday (link will display full 1999 Gregorian calendar)
By 2001, Coles Myer planned to expand the Megamart chain of furniture and electrical stores, but by 2005 had decided to divest the struggling chain. Year 2001 ( MMI) was a Common year starting on Monday according to the Gregorian calendar. Year 2005 ( MMV) was a Common year starting on Saturday (link displays full calendar of the Gregorian calendar. Six of the nine strores were sold to competitor Harvey Norman, with the remainder closed. Harvey Norman is a large Australian-based retailer of electrical computer furniture entertainment and bedding goods
In 2001, the Company appointed John Fletcher, formerly of Brambles, as chief executive. Bramble refers to thorny plants of the Genus Rubus, in the Rose family ( Rosaceae) Fletcher engineered a brief turnaround in the company's fortunes. Fletcher abolished the shareholder discount card, on the basis that it had eroded margins while providing little benefit, and was unpopular with institutional investors. Since their introduction in the early 1990s, the card had induced a ten-fold increase in the number of Coles Myer's shareholders, with the overwhelming majority owning only small parcels of shares. [5]
Fletcher also engineered the acquisition of the retail fuel operations of Shell Australia with the fuel outlets rebranded as Coles Express, allowing Coles Group to counter the success of Woolworths' discount petrol operation. In Australia, Royal Dutch Shell conducts a large range of activities including Exploration for and the production and commercialisation of oil and natural Coles Express is an Australian chain of fuel and convenience stores Woolworths subsequently gained entry to part of Caltex Australia's network to provide a recognised brand for its fuel offer. Caltex is a Petroleum brand name of Chevron Corporation used in more than 60 countries in the Asia-Pacific region the Middle East, and southern
In August 2005, Coles Myer called for expressions of interest in purchasing the perennially under-performing Myer department store business. Myer is Australia 's largest chain of Department stores retailing a broad range of merchandise including women's men's and children's clothing footwear and accessories There was significant interest from both Australian and overseas investors, including the Myer family. On 13th March, 2006, Coles Myer announced it would sell Myer to a consortium largely controlled by US private equity group Newbridge Capital, part of the Texas Pacific group. Year 2006 ( MMVI) was a Common year starting on Sunday of the Gregorian calendar. In Finance, private equity is an Asset class consisting of equity Securities in operating companies that are not Publicly traded on TPG Capital (formerly Texas Pacific Group commonly referred to as "TPG" is a Private equity investment firm founded by David Bonderman, James The Myer family retained a 5% stake. Texas Pacific had interests in UK department store Debenhams and high-end US retailer Neiman Marcus. Debenhams plc ( is a British -based retailer operating under a Department Store format in the UK and franchise stores in other countries Neiman Marcus is an upscale specialty retail Department store, operated by the Neiman Marcus Group in the United States. The sale was completed in June 2006.
With the sale of Myer, the parent company received shareholder approval to rename as Coles Group Ltd, effective 27 November 2006.
Coles Group planned to rebrand its assorted holdings under the Coles name, with plans to have all holdings other than Officeworks and Target rebranded by late 2007. This plan was not well received by investors, most of whom reportedly believing that such a significant change to the flagship supermarkets business would be too risky and cause an eventual decline in market share. (The plan was eventually put on hold in March 2007 due to the proposed sale of Coles Group. ) [6]
In August 2006, Coles announced that a group of private equity companies led by Kohlberg Kravis Roberts & Co. (KKR) was looking to buy the company, with an initial proposal of $14. Kohlberg Kravis Roberts & Co (commonly referred to as KKR) is a New York City -based Private equity firm that focuses primarily on late-stage Leveraged 50 per share. The Coles board rejected the offer stating it significantly undervalued the company, and was conditional on a due diligence process, without a guarantee that the deal would go ahead. A second proposal of $15. 25 per share in October 2006 was rejected for largely the same reasons. [7]
In November 2006, long-term senior supermarkets executive Peter Scott was dismissed for an unspecified breach of the company's code of conduct. [8]
On 23rd February 2007, the company announced a downgrade of expected earnings and that it was considering ownership options, including the possibility of a full sale of the business or a restructuring such as a demerger. Demerger is the converse of a merger or acquisition. It describes a form of restructure in which Shareholders or unitholders in the parent company gain direct [9] On 20th March 2007, it deferred its plans to rebrand Kmart under the Coles banner and create supercentres, and subsequently paused its conversion of BI-LO stores to Coles Supermarkets given the lack of success of this move. BI-LO is a major Australian supermarket chain owned by Wesfarmers (formerly Coles Group) Coles Supermarkets is an Australian supermarket chain owned by Wesfarmers (formerly Coles Group before its acquisition on 23 November
On 23rd March, Coles Group stated it planned to sell its businesses as either an entire package, or in three parts (Officeworks, Target and the remaining businesses Kmart, Coles, Bi-Lo, and liquor shops). [10]
On 3rd of April, Solomon Lew, the former chairman and long-time antagonist of the current board and management team, sold his 5. Solomon Lew (born 1945) is an Australian Jewish businessman living in Whernside Avenue Toorak, Melbourne and is one of Australia's richest men 8% shareholding of the company. A large portion of these shares were bought by Wesfarmers, which was believed to be part of a consortium of bidders including Macquarie Bank, PEP and Permira. Wesfarmers ( is one of Australia ’s largest public companies and Australia's largest retailer with its headquarters in Perth Western Australia. ---- Macquarie Group Limited (formerly Macquarie Bank Limited is a global Investment banking and diversified Financial services group providing banking financial Permira is an international Private equity firm based in the United Kingdom, headed by Damon Buffini. The share price at which the transaction took place was reportedly $16. 47, then 2. 2% above the market price. A bid for the entire company at this price would have valued Coles Group at A$19. 7 billion, well above the two KKR proposals announced in 2006. [11]
In May 2007, Coles reported its slowest sales growth in at least seven years with continuing poor performance from Coles Supermarkets and Kmart. [12]
On 2 July 2007, Wesfarmers announced it intended to buy Coles Group for $22 billion, the largest take-over bid in Australia. Wesfarmers ( is one of Australia ’s largest public companies and Australia's largest retailer with its headquarters in Perth Western Australia. The sale is expected to be completed in October 2007. [13]
In August 2007, Wesfarmers foreshadowed its plans for the restructuring of Coles Group following its anticipated takeover, including investment of A$5 billion, establishing three separate divisions (including a combined Bunnings/Officeworks "big box" retailing division), the possible sale of Kmart, and the exit of Coles Group from its head office base at Tooronga. Bunnings Warehouse is the Southern hemisphere 's largest Hardware chain with 223 stores Australia and New Zealand. [14]
The independent expert report published in October 2007, advising shareholders preparatory to the proposed sale was critical of the culture within Coles Group. [15]
At a shareholder meeting in Melbourne on 7 November 2007, shareholders voted overwhelmingly with 99. Events 1492 - The Ensisheim Meteorite the oldest Meteorite with a known date of impact strikes the Earth around noon in a Wheat Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century. 25% approval of the sale of Coles Group to Wesfarmers. [16] The Scheme of Arrangement between Coles Group and its shareholders was approved by the Supreme Court of Victoria on 9 November 2007, the last day Coles Group shares traded on the Australian Securities Exchange. The Supreme Court of Victoria is the superior court for the State of Victoria, Australia. Events 694 - Egica, a king of the Visigoths of Hispania, accuses Jews of aiding Muslims sentencing all Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century. The Australian Securities Exchange ( ASX) is the primary Stock exchange in Australia. The Scheme was implemented on 23 November 2007,[17] ending Coles Group as a company with its subsidiaries merged into Wesfarmers' business structure. Events 800 - Charlemagne arrives at Rome to investigate the alleged crimes of Year 2007 ( MMVII) was a Common year starting on Monday of the Gregorian calendar in the 21st century. [18]
The Everyday Needs businesses encompassed retail outlets that were frequently shopped at by customers including supermarkets, liquor and general merchandise.
Coles Group Limited was listed on the Australian Stock Exchange with the code CGJ, which references back to its first ever registered company name of G. The Australian Securities Exchange ( ASX) is the primary Stock exchange in Australia. J. Coles & Coy Proprietary Limited. The company has in the past been listed on the NYSE (de-listed 6 January 2006), the New Zealand Stock Exchange (de-listed 1989) and The London Stock Exchange. The New York Stock Exchange ( NYSE) is a Stock exchange based in New York City. Events 1066 - Harold Godwinson is crowned King of England. 1205 - Philip of Swabia becomes King Year 2006 ( MMVI) was a Common year starting on Sunday of the Gregorian calendar. New Zealand Exchange Limited (NZX is a Stock exchange located in Wellington, New Zealand. Year 1989 ( MCMLXXXIX) was a Common year starting on Sunday (link displays 1989 Gregorian calendar) The London Stock Exchange or LSE is a Stock exchange located in London, England.