APA-Nairobi (Kenya) Kenya’s Capital Market Authority (CMA) on Friday approved the bid by France-based oil fuel storage and distribution company Rubis Energie to fully acquire Kenyan-based Kenolkobil, which is East Africa's oil marketing leader.
Rubis Energie will now pay 23 shillings ($0.23) per share belonging to Kobil, with the cash offer closing on 18 February.
The cash offer has also been approved by the Common Market for Eastern and Southern Africa (COMESA) Competition Commission.
“Rubis Energie SAS considers that KenolKobil Plc’s shareholders will find the offer price of KES 23 per share very attractive as it represents a 53.4 per cent premium to the volume weighted average price at which KenolKobil Plc shares traded over the 30 trading days, preceding the issuance of the notice of intention to take-over by Rubis Énergie SAS in October 2018, and is higher than the prices at which KenolKobil Plc shares have traded since then,” a statement from Kobil announced on Friday.
KenolKobil covers the entire range of petroleum distribution activities - retail (350 outlets), Aviation fuels, LPG, Lubricants, Bitumen, Commercial and Industrial - with secured access to pipelines and a network of 10 terminals.
“East Africa has experienced a steady growth in the petroleum distribution segment, driven by demographic development, urbanization and investments in road infrastructure. KenolKobil is present in areas with a population of more than 200 million people, offering favorable perspectives,” Rubis said in a statement issued in Nairobi.
Since 2013, KenolKobil has generated steady volumes and profit growth, generating $50 million in 2017.
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