Townsville Bulletin

WOOLIES SELLS MARLEY SPOON STAKE

- ELI GREENBLAT

WOOLWORTHS has made a big U-turn by selling its stake in meal kit delivery group Marley Spoon for $54m.

The supermarke­t giant disclosed on Tuesday that it has sold 28 million Marley Spoon shares, two years after buying a stake through its venture division W23 Investment­s.

At the time of its investment, Woolworths pledged to work with the nation’s second largest meal kit delivery service. But now, the retailer says it no longer “fits squarely within the investment criteria of W23”.

Woolworths said it remained “committed to the ongoing growth alliance” with Marley Spoon, which operates in the US and

Europe as well as Australia.

The retailer kicked off its alliance and investment in Marley Spoon in 2019, banking on an equity stake and marketing alliance with Marley Spoon to give it a fast track into the expanding meal home delivery sector.

Woolworths’ partnershi­p included a $30m investment.

At the time of

Woolworth’s investment, chief executive Brad

Banducci said the partnershi­p aligned with its goal of meeting customers’ needs for healthy and convenient meal solutions.

A spokesman for W23 said: “Marley Spoon experience­d strong growth over the term of W23‘s investment and has matured into an establishe­d listed company and no longer fits squarely within the investment criteria of W23.”

Woolworths shares closed down 0.6 per cent at $40.49.

 ??  ?? Woolworths CEO Brad Banducci. The supermarke­t giant has offloaded its Marley Spoon shares. Picture: John Feder
Woolworths CEO Brad Banducci. The supermarke­t giant has offloaded its Marley Spoon shares. Picture: John Feder

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