KKR and Coles ink $200m pubs deal
KKR and Coles have signed a final agreement for their new pubs joint venture which will see KKR's The Australian Venue Company take the pubs which are held within the Coles' Spirit Hotels business and centred in Queensland, and Coles keep the liquor stores.
KKR will pay about $200 million to run Coles Spirit Hotels, with the liquor store profits to go to Coles and the pubs earnings going to KKR.
KKR has an 80 per cent stake in The Australian Venue Company, which has made a number of acquisitions since 2017.
Coles parent group Wesfarmers has been looking for an exit from the pub sector for a while due to its exposure to the around 300 poker machines that come with the 90 hotels it runs.
Sheridan Randall, 6th March 2019
