Madeleine McCoy, the sole shareholder of Hole in the Wall Ltd, had been seeking the authority for the George St bar Mou Very.
The application was to be considered by the council's hearings committee yesterday afternoon, but the hearing was cancelled yesterday morning.
Council liquor licensing and projects officer Kevin Mechen said the cancellation came after a change to ''the structure of the applicant company'', which he declined to discuss.
It meant the application could proceed without opposition from police or the council, removing the need for a public hearing, he said.
Companies Office records showed Ms McCoy had been removed as a shareholder of the company yesterday and replaced by two others, Charlotte Quin and Henry Easton, both of Dunedin.
Ms McCoy could not be contacted yesterday.
Police and council staff had earlier opposed the application because of Ms McCoy's ''completely unsatisfactory'' attitude to Sale of Liquor Act requirements.