PARIS – On Friday, TotalEnergies (NYSE: TTE), the French oil major, said it has agreed to sell a network including 240 retail fuelling stations and seven ethanol and fuel storage facilities in Brazil to a subsidiary of Grupo Argenta.
TotalEnergies said it will keep its lubricants blending and distribution activities in Brazil.
The value of the deal was not disclosed. However, the acquired business trades approximately 1 billion liters a year and includes two transporter-reseller-retailer branches, which are companies authorized by Brazil’s national petroleum agency to buy fuel in bulk to sell it retail, according to a separate release by purchaser SIM Distribuidora.
Brazilian financial daily Valor Economico, citing sources, reported the deal at around 300 million Brazilian reals ($52.99 million). TotalEnergies declined to comment on the deal value.
SIM has more than 500 service stations, plus lubricants and aviation fuel distribution activities, mainly in the south of Brazil.
The network acquired from TotalEnergies (NYSE: TTE) extends that geographic reach into the southeast and midwest, operating 40 terminals.
“With this acquisition we are writing a new chapter in our history, placing SIM Distribuidora among the largest Brazilian players in its field of activity,” said SIM President Neco Argenta in the statement.
For Total, the deal furthers plans to slim down its retail network holdings, concentrating holdings in places where it has a large market share.
In January the French company sold its German and Dutch fuel stations, plus a 60% take in its stations in Belgium and Luxembourg to Alimentation Couche-Tard for about 3.4 billion euros ($3.69 billion).
($1 = 5.6619 reais)
($1 = 0.9213 euros)
(Source: ReutersReuters)
