Vitol to buy Vivo Energy for $ 2.3 billion

(Agence Ecofin) – Vitol wants to fully control the distributor Vivo Energy to continue its growth in Africa and find outlets for its traditional fuels.

On November 25, the commodities trader Vitol announced that it will buy the entire British petroleum distributor Vivo Energy for $ 2.3 billion. As a reminder, Vitol already controls 36.1% of Vivo Energy and is its main investor.

Negotiations were opened in parallel with Vivo’s other major shareholder, Helios Investments Partners, which owns 27.1% of the shares. The two sides agreed to a share price of $ 1.79. The operation has not yet been confirmed by the actors.

Once the buyback has been approved by its Board of Directors, Vivo shareholders will receive $ 1.79 in cash for each share they hold and six cents as an interim and special dividend.

Vivo was incorporated in 2011 after Shell divested part of its downstream business. The transaction attracted Vitol and Helios, who together with Shell operated the distributor as a joint venture until 2016, when Vitol and Helios bought the shares of Shell.

“Since we founded Vivo with Helios and Shell, we have believed in the potential of the company and we are delighted that it is part of the Vitol family, as a pillar of our strategy in Africa”said Chris Bake, one of the Vitol executives who conducted the operation.

Vivo has a network of approximately 2,330 service stations in Africa and is responsible for the distribution of Shell and Engen brand fuels on the continent.


Vitol buy Vivo Energy billion

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