Ampol has entered into a binding agreement with Allegro Funds Pty Ltd (Allegro) through a transaction vehicle entity for the sale of its Gull business in New Zealand (Gull).
According to Ampol, under the terms of the sale, Allegro will acquire 100% of Gull for net cash proceeds of approximately NZ$509 million as well as the assumption by Allegro of approximately $63 million of leases and debt like items.
“The transaction is fully funded, with Allegro’s financing provided by Ares Capital and ASB. Under the sales arrangement, Ampol has committed to a five-year fuel supply agreement with Gull as requested by Allegro, subject to annual price reviews and termination rights,” Ampol said in a statement.
“The acquisition of Gull by Allegro is subject to approvals by the NZCC and the OIO. In addition, the transaction will be subject to Ampol successfully completing the acquisition of Z Energy.
“Ampol committed to divest Gull in full to ensure any potential competition law issues were fully addressed as part of its application to the NZCC for approval to acquire Z Energy. The NZCC’s clearance decision is pending. If this clearance is obtained, the NZCC will then also need to approve Allegro as the purchaser of Gull and the relevant transaction documents. It is expected the Gull divestment will occur within a prescribed period following completion of the scheme to acquire Z Energy which remains on track to complete in the first half of 2022.”
Ampol intends to use the proceeds of the sale of Gull towards funding the proposed acquisition of Z Energy.
