Jan 21 (Reuters) - Australian conglomerate Wesfarmers ( WFAFF )

said on Tuesday its e-commerce retailer, Catch, will

cease to operate as a standalone business in the fourth quarter

of fiscal 2025.

Wesfarmers ( WFAFF ), Australia's biggest non-food retail group, said

it would transfer Catch's e-commerce fulfilment centres to Kmart

Group while select digital capabilities developed in Catch will

be transferred to Wesfarmers' ( WFAFF ) retail divisions.

The company acquired Catch Group for about A$230 million

($144.26 million) in 2019 to boost the small online footprint of

its retail units such as Kmart and Target ( TGT ).

"Wesfarmers ( WFAFF ) expects to record one-off costs associated

with the wind down and transition of Catch of between A$50

million and A$60 million, to be included in the results for the

second half of the 2025 financial year," the conglomerate said

in its statement.

"The recent increase in competitive intensity in the

Australian e-commerce sector has affected Catch's financial

performance and growth prospects," said Wesfarmers' ( WFAFF ) managing

director, Rob Scott.

($1 = 1.5944 Australian dollars)