Australian supermarket giant Coles has terminated negotiations to acquire Greencross, the pet health and veterinary services business owned by private equity firm TPG Capital.
The supermarket operator confirmed it has ceased discussions after more than nine months of talks, effectively ending a potential transaction valued at approximately $3.9 billion (AUD).
The breakdown of the deal marks a significant shift in Coles' corporate strategy.
The acquisition was widely viewed as a move to diversify revenue streams beyond traditional grocery retail by entering the high-margin veterinary sector.
With the talks now concluded, Coles will not proceed with the vertical integration into pet care, and the strategic rationale for the expansion has been shelved.
TPG Capital, which has owned Greencross since 2021, will now need to restart its search for a buyer or consider alternative exit strategies for the business.