WESFARMERS Wesfarmers' diversification program began modestly in the 1950s with the formation of Kleenheat Gas, which pioneered the distribution of liquefied petroleum gas (LPG) and gas appliances to Western Australia's rural areas. The company made more significant changes to operations and structure in the 1980s. In 1984, with the farmers' cooperative as its majority shareholder, Wesfarmers Limited listed on the Australian Securities Exchange. In the same year, the company acquired fertiliser manufacturer and distributor CSBP & Farmers, in what was then Australia's largest corporate takeover. Wesfarmers added to its energy industry investments by moving into coal mining through acquisitions and investments in the 1990s and 2000s. It followed a similar strategy with its insurance investments. It broadened its agricultural base for a decade in the 1990s; however, that business structure was eventually resold. In 1994, Wesfarmers completed its acquisition of Bunnings Limited, establishing the company in hardware retailing and forest products. In April 2001, Wesfarmers completed the transition to a broadly based public company when shareholders overwhelmingly supported a proposal to simplify its complex ownership and control structure. In the same year, Wesfarmers added to its hardware division by acquiring Howard Smith's BBC and Hardwarehouse businesses, including hardware and industrial and safety products businesses in New Zealand, which gave Wesfarmers its first significant presence outside Australia. Wesfarmers moved into rail transport in 2000, when, in a joint venture with Genesee & Wyoming Inc. of the US, it successfully bid for the Western Australian government's rail freight business, leading to the creation of the Australian Railroad Group. Wesfarmers completed the sale of this business to Babcock & Brown and Queensland Rail in June 2006. In 2007, Wesfarmers entered yet another new Copyright 2021 Cangage Learning. All Rights Reserved. May not be copied, coanned, or duplicated, in whole or in part. WON 02-200-202 industry when it acquired Coles Group Limited, which it divided into three separate divisions for each of the major retailing brands. In recent years, however, Wesfarmers has divested itself of several of its investments. In 2014, it sold its insurance CHAPTER 2 STRATEGY ANALYSIS 35 businesses. In 2018, it sold its UK hardware business (discussed further in Chapter 11) and it also demerged from Coles. Source: Wasfarmers Ltd. http://www.wesfarmers.com. -are/our- history