Metcash has announced it will be splitting its food and grocery business into two.

The retailers and brands that operate under the food and grocery pillars include, IGA supermarkets, FoodWork stores, Lucky 7 convenience stores and Black & Gold and No Frills private labels.

According to Metcash Group CEO Ian Morrice, believes this change, which are currently being finalised, will allow the company a “more focused approach” to managing its food and grocery businesses.

“To provide a greater turnaround platform for our Supermarkets business and optimise the growth opportunities identified in the Convenience channel, we have decided that the Metcash Food & Grocery pillar will be run in two divisions, each led by a separate CEO,” he said.

Fergus Collins, currently the CEO of the company’s liquor business, Australian Liquor Marketers (ALM), will take on the role of CEO supermarkets and Scott Marshall, currently general manager of merchandise and marketing at ALM will take over the role of CEO ALM. The new CEO Convenience will be appointed in the near future.

Current head of Metcash’s food and grocery business Silvestro Morabito is leaving the company and will finish up at the company on 20 December 2013.

“I would like to pay tribute to the role Silvestro has played in the business,” Morrice said.

“He has been leading food and grocery through a very challenging trading period battling the issues of price deflation and intensified competition. I wish Silvestro and his family all the very best for the future.”