Besieged cleaning and catering company, Spotless Group, has lost a three-decade-old contract to a smaller rival, stated Sydney Morning Herald (SMH) journalist Jared Lynch on 10 January.
‘A week before Spotless’ profit warning, Queensland government agency Stadiums Queensland quietly announced private Melbourne-based company O’Brien Group Australia had secured the catering contract for Brisbane’s Suncorp Stadium,’ reported Lynch.
The service provider had held the contract for the past 31 years.
Spotless shares have more than halved in the past month after it shocked the market with a 10 percent profit downgrade and has since attracted the interest of a potential overseas buyer (see our coverage of that story here).
According to Lynch, O’Brien, which employs about 6,000 people compared with Spotless’ 30,000, is aiming to become a dominant facility manager in Australia and New Zealand.
‘It already manages stadiums across both countries, including The Gabba, Melbourne’s AAMI Park, Simmonds Stadium in Geelong, Metricon Stadium on the Gold Coast and Eden Park in New Zealand. O’Brien also manages the Brisbane International tennis tournament, which finished on Sunday,’ he stated.
Stadiums Queensland completed an international tender process for the Suncorp Stadium’s catering rights. The agency’s chairwoman Sophie Devitt, said the O’Brien bid “best met all key criteria” and described the company as innovators.
“O’Brien Group has proven experience across a range of venues and sports around Australia,” Ms Devitt said. “They are innovators within their sector and industry leaders in their corporate hospitality offerings.”
A key part of O’Brien’s bid was a commitment to redevelop Suncorp Stadium’s 70 bars and restaurants.