Financial investors acquire jet refueling facilities
You've heard of big money moves, but this one's a doozy! The business of Jet-branded fuel stations in Germany and Austria is about to change hands – and for a hefty 1.5 billion euros, no less! The US company Philips 66 is offloading a 65% majority stake to a heavy-hitting consortium backed by Energy Equation Partners (based in the UK) and Stonepeak Partners, a leading U.S. alternative investment firm specializing in infrastructure and real assets[1][2].
Information stations, beepers, and carrier pigeons aside, this transaction involves a whopping 970 fuel stations in total, with 843 of them proudly flying the Jet flag. Philips 66 is looking to stick around, though, by retaining the remaining 35% stake through a fresh joint venture[1].
So, what's thedmoney gonna be used for? Philips 66 is planning on using the proceeds from the sale to wipe out debt and shower shareholders with a bit of love[1]. They're aiming to seal the deal in the second half of this year[1].
But, wait, there's more than meets the eye! Philips 66 is feeling the heat from investment firm Elliott, which has been demanding some significant changes, such as spinning off business segments[1]. The sale announcement came all guns blazing just days before the annual general meeting, where the supervisory board's composition will be up for grabs, along with other juicy decisions[1].
Sources: ntv.de, dpa, [1], [2], [3]
[1]https://www.ntv.de/wirtschaft/Jet-Tankstellen-werden-an-Finanzinvestoren-verkauft-100169242.html[2]https://www.reuters.com/business/energy/private-equity-firms-stonepeak-energy-equation-teams-up-for-jet-fuel-stations-buy-2021-04-14/[3]https://www.spglobal.com/marketintelligence/en/news-sapplications/stonepeak-energy-equation-to-buy-jet-tankstellen-for-e2-5bn-57144498
For the financial investors, Energy Equation Partners and Stonepeak Partners, this marks a significant entrance into the jet fuel station market, as they've agreed to buy 65% of Jet-branded fuel stations in Germany and Austria for around 1.5 billion euros. This financing will aid them in their strategic move, expanding their infrastructure and real assets portfolio.
