Coles Group Ltd- proposed acquisition of Talbot Hotel Group


  • Coles Group Ltd


  • Talbot Hotel Group


The Coles Group proposed to acquire six hotels in Queensland from the Talbot Hotel Group; the Bonny View Tavern, Everton Park Hotel, Cleveland Sands Hotel, Coomera Lodge Hotel, Mi-Hi Creek Hotel, and Bargara Beach Hotel/Motel. Coles also proposed to acquire six associated liquor barns and 11 detached bottle shops.

Market definition

1. relevant local markets (within Queensland) in liquor retailing for off-premises consumption;
2. the Queensland market for wholesale liquor; and
3. relevant local markets for the sale of liquor for on-premises consumption, gaming and live music.

Competition analysis

Each of the local markets in which Coles will acquire new hotels remain relatively unconcentrated. In each local market, Woolworths and a number of independent hotels and associated detached bottle shops remain to provide competition to Coles.

In relation to the wholesale market, the acquisition resulted in a relatively small increase in Coles' share on the buying side of the wholesale liquor market and a correspondingly small decrease in the market share for independent liquor buying groups. Therefore, the ACCC considered it unlikely that the acquisition would lead to a substantial lessening of competition in any of the relevant markets.


12/12/2006ACCC commenced review under the Merger Review Process Guidelines. Market inquiries commenced.
19/12/2006Closing date for submissions from interested parties.
19/12/2007ACCC announced that it would not oppose the merger.