11th Nov 2019 09:32
(Alliance News) - J Sainsbury PLC on Monday said it will partner with retailer Coles Supermarkets Australia Pty Ltd, the FTSE 100 firm's biggest wholesale agreement to date.
Sainsbury's will supply its own brand products to the Australian food & drink giant, which has more than 2,400 retail outlets.
The grocer said: "The agreement with Coles marks a key milestone in Sainsbury's strategy to build its wholesale business, with a number of partnerships already in place in Asia, Europe and the UK.
"There are significant opportunities in the Australian grocery market, as demand for high quality, innovative own brand products is growing. The new partnership means that Coles customers will now be able to buy innovative own-brand food and groceries that they won't find anywhere else in Australia."
As part of the agreement, a number of Australian groceries and alcohol products, sourced through Coles, could be brought to UK customers.
Sainsbury's Director of Business Development Michael Luck said: "Coles is one of Australia's leading food retailers and we are delighted to enter in to this new partnership with them. Great quality food, high standards and ethical sourcing are at the heart of both our businesses and we are delighted to work with Coles to bring more choice and innovation to Australian customers."
Shares in the company were 1.0% higher at 203.10 pence each in London on Monday morning.
By Eric Cunha; [email protected]
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