Milking the Sky for 1.5 Billion Euros: Jet Fuel Stations Now Owned by Financial Giants
Financial investors acquire jet refueling facilities
Who said you can't make a killin' from petrol stations? It turns out that financial investors are looking to cash in on the market for jet-branded gas stations spanning Germany and Austria. The US company Philips 66 is ready to part ways with a jaw-dropping 65% stake for roughly 1.5 billion euros—and the lucky buyers are none other than a consortium backed by the investment firms Energy Equation Partners and Stonepeak [1][2][4].
So, what's the low-down on this multi-million-dollar deal? A whopping 970 gas stations are being sold, with 843 of them flaunting the iconic Jet brand. Philips 66, despite saying goodbye to most of the action, plans to stay in the game via a new joint venture, clinging on to the remaining 35% stake [1]. The company dished out plans for using the hard-earned cash—they aim to clear debt and treat shareholders to a tasty dividend payday [1]. The expected closing of this juicy transaction is penciled in for the second half of the year, assuming it makes it past the necessary regulatory green lights [1][2].
But, here's the real tea: Philips 66 has been feeling the heat from the investment firm Elliott, which has been putting pressure on the corporation to make some major changes, including offloading certain business units [1]. With the sale announcement dropping mere days before their annual general meeting, where important factors like the composition of the supervisory board are on the line, some might think it's a daunting move. But when you're cashing in this kind of dough, what's a little board meeting drama on the side, right?
Sources:[1] ntv.de[2] dpa[3] Corrected error: Stonepeak and Energy Equation, not Energy Partners andpeak, are the main investors[4] Phillips 66 will retain a non-operated 35% stake in the venture
For financial investors, this deal represents a promising avenue to cash in on the market for jet-branded gas stations, as they acquire a stake worth approximately 1.5 billion euros from Philips 66. The finance from this sale will be utilized by Philips 66 to clear debt and reward shareholders with dividends.
