Ukrnafta buys Shell gas stations and promises not only more money for the budget
20 November 2024 08:49
PJSC Ukrnafta, part of Naftogaz Group, is acquiring a 51% stake in the international company Shell’s network of gas stations in Ukraine. This was reported by Ukrnafta, according to "Komersant Ukrainian".
Shell is one of the top 10 networks in terms of sales in Ukraine and has 118 operating filling stations. The company is also No. 9 in terms of fuel sales for 9 months of 2024 and No. 7 in terms of the number of filling stations, which are located mainly in favorable areas with heavy traffic.
“Ukrnafta will become the majority owner of the network of filling stations, which includes 118 operating filling stations and other property. The profits generated by the company will go to the state budget in the form of dividends.
According to Sergiy Koretsky, Ukrnafta’s CEO, “the Supervisory Board of the company approved the decision because the acquisition of the business, which has been led by a reputable international group for 15 years and has invested over $460 million in development, will provide the company with an expansion of its network of filling stations and market share, which is in line with its development strategy until 2028. According to Sergiy Koretsky, this will also allow the company to strengthen its market position to reliably meet the needs of society and the Security and Defense Forces of Ukraine in fuel and energy resources.
“Naftogaz Group has not only adapted to the war conditions, but is also becoming stronger. We remain flexible and are not afraid to make decisions that will allow the state to earn money,” said Oleksiy Chernyshov, CEO of Naftogaz Group, in his assessment of the deal.
In the coming days, Ukrnafta, which has been determined as the winner of the competitive process, will apply to the Antimonopoly Committee for a merger clearance, which is a prerequisite for the deal to be completed. Once the merger clearance is granted, Ukrnafta will be able to complete the transaction and acquire all rights and obligations of the shareholder.
Ukrnafta plans to rebrand all its filling stations within a year. The terms of the existing B2B contracts will be fulfilled in full. The company’s staff will be retained – 1,550 employees working at the filling stations and the head office.
