The Vitol Group and Helios Investment Partners have formed a consortium to purchase a majority stake in Oando, an integrated oil and gas company.
The consortium acquired 60% of the economic rights and 51% of the voting rights in the downstream company for $276 million (€249 million) subject to acquiring the relevant regulatory approvals.
The company’s assets include more than 400 service stations in Nigeria, 84,000 tonnes of storage and a newly built inbound logistics jetty as well as a complementary business of LPG filing and distribution, lubricants and an interest in a supply and bulk distribution company in Ghana.
The downstream and retail business will be a standalone, independent company led by a local management team. It will be the second largest downstream fuels company in Nigeria, with a 12% market share.
Vitol president and CEO Ian Taylor says: ‘Vitol has a long history of working in Nigeria and is proud to have served our customers here over many years. This investment is a further reflection of our confidence in the Nigerian economy, and will be independent of the services we provide to our long standing Nigerian customers.’