Strategic rationale for the acquisitions
Strategic fit of acquisitions (cont'd)
Metcash is a natural owner of Superior Food, Bianco and Alpine Truss, with the Acquisitions accelerating our
Food & Hardware pillar strategies
Metcash pillar
strategic focus
Food
A leading supplier of food to
independent businesses in Aust.
Grow to 3rd largest player in grocery
Further improve competitiveness
Expansion through accessing adjacent
segments and categories
Liquor
Grow IBA share of independent
network
Hardware
I
IHG
Extend #1 position in small/medium builders!
and grow #2 position in DIY
Further improve competitiveness
Grow share of on-premise segment I
Champion, protect and grow network
Consolidate fragmented market
Grow Trade through "whole of house" and
DIY through "making houses into homes"
strategies
Total Tools
Continue to grow store network
•
Expansion through adjacent
segments and categories
I
•
Continued focus on customer
value proposition
Strategic fit of
the Acquisitions
Metcash
Superior Food: a complementary and logical acquisition
Superior
Highly complementary operations:
Metcash is the only food distributor of its scale with a supply chain designed
to service smaller scale independents
- Superior Food is one of the largest suppliers of foodservice to independents
Metcash does not currently have a material competing foodservice offering
Only Metcash brings the B2B capability and scale to service regional Australia
and supply small businesses
Strengthens and diversifies Metcash's existing food business
Supply chain opportunities (capabilities, reach, frequency and efficiencies)
Drives all three layers of Metcash's strategic flywheel
Bianco and Alpine align completely with IHG's strategy
Highly complementary to existing network
✓ Supports 'whole of house' growth strategy
Accelerates network expansion strategy
I✓ Broadens offer and enhances customer proposition
✓ Strong track record with IHG acquisitions (incl. synergy realisation
and further consolidation)
Increases market share in attractive trade hardware segment
-
Attractive outlook supported by positive through-the-cycle
housing growth trends
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES
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