![[Kenya] Rubis announces plans to acquire KenolKobil](Images/2018/10/kenolkobil.jpg)
[Kenya] Rubis announces plans to acquire KenolKobil
French fuel firm Rubis Énergie S.A.S has announced its intention to make a public offer to purchase all of the remaining share capital of KenolKobil in accordance with the rules of the Nairobi Securities Exchange and the Kenyan Capital Markets Act, and other applicable laws and regulations.
This after it previously acquired 24.99% of KenolKobil's share capital.
KenolKobil, the oil marketing leader in Kenya, is also present in Burundi, Ethiopia, Uganda, Rwanda and Zambia, with a cumulative distribution volume of 1.3 million m3 in 2017.
KenolKobil covers the entire range of petroleum distribution activities - Retail (350 outlets), Aviation fuels, LPG, Lubricants, Bitumen, Commercial & 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.
Since 2013, KenolKobil has generated steady volumes and profit growth generating a normalised EBITDA of USD50 million in 2017 with a sound balance sheet structure.
At Ksh 23 per share, Rubis' takeover offer would value KenolKobil at $353 million. This acquisition, financed by the Group's available cash and/or from existing credit facilities, would be immediately accretive.
Completion of a takeover offer would be subject to the receipt of all regulatory approvals, including national and regional competition authorities and other regulators.
KenolKobil fits perfectly within Rubis' investment objectives and criteria and would increase ideally Rubis' presence in Africa, in especially promising areas where the group see a new impetus towards the future.
