Greens won’t support fuel tax hike; Woolworths wants Lew’s share of Country Road: Midday Roundup

The Greens announced it won’t support the federal government’s proposal to reintroduce indexation of the fuel excise, after previously indicating it was in favour of the move.

Business Spectator reports the party changed its position after examining draft legislation on Tuesday. Greens leader Christine Milne had previously said the Greens would support the budget measure if the revenue was invested in public transport.

The Labor Party opposition and the Palmer United Party also oppose the measure.

Woolworths wants Lew’s share of Country Road

Woolworths South Africa has launched a $213 million takeover bid for local fashion retailer Country Road, reports The Age.

The South African retailer, which is still pursuing a $2.2 billion bid for Australian department store David Jones, already owns 88% of Country Road. It wants to control the entire company and is offering $17 a share as part of its takeover bid.

The remaining 12% share of Country Road is owned by retail billionaire Solomon Lew, who has recently bought up a 9.89% stake in David Jones, and analysts have suggested Lew’s attempts to stymie the Woolworths takeover are driven by a desire to offload the fashion brand.

Woolworths’ chief executive Ian Moir said in a statement on Tuesday the company’s proposed acquisition of David Jones presents “a common sense and timely opportunity to seek to reach full ownership of Country Road”. 

The takeover bid is conditional on the Woolworths and David Jones deal going ahead.

“If successful, the offer will allow Woolworths to delist Country Road, allowing Woolworths to simplify its group structure and fully integrate the businesses,” said Moir.

Shares down on open

Aussie shares are down this morning following a sluggish lead from Wall St.

The S&P/ASX200 benchmark was down 23.5 points to 5429.8 points at 12:02pm AEDT. On Monday, the Dow Jones closed 9.82 point down or 0.06% to 16,937.3 points.