By Alice Uribe

SYDNEY---Australian grocer Woolworths Group has agreed to sell 5.0% of Endeavour Group for 468 million Australian dollars, with plans to use proceeds to return capital to shareholders.

Woolworths on Wednesday said the transaction would take place via block trade at a price of A$5.22 per share. Following the sale, Woolworths would be left with around a 4.1% shareholding in Endeavour.

"While Woolworths Group and Endeavour Group remain important business partners, with a number of long-term partnership agreements in place, we no longer believe that a material equity investment in Endeavour Group is required as Endeavour Group approaches its three-year anniversary as an independent listed company," said Woolworths Chief Executive Brad Banducci in a regulatory filing.

There were currently no plans for Woolworths to sell its remaining stake, Banducci said, but added it would continue to assess what it sees is in the best interests of its shareholders.

Write to Alice Uribe at

(END) Dow Jones Newswires

04-30-24 1852ET