Americas News
Petrobras Agrees to Sale of Chilean Fuel Distributor
Petróleo Brasileiro S.A. (Petrobras) Friday announced that it has signed an agreement with Southern Cross Group (Southern Cross) for the sale of 100 percent of Petrobras Chile Distribuición Ltda (PCD), which is currently held by Petrobras Caribe Ltda. (Petrobras Carib).
The deal is expected to garner a cash inflow of $464 million, with $88 million coming from the distribution of surplus cash before the transaction closed, $367 million paid by Southern Cross, and a $9 million price adjustment payment that is to be made within 65 working days after the deal closes.
PCD, which has been operating a Petrobras' Chilean fuel distribution company, is noted to have 8 distribution terminals, 1 lubricant plant, as well as 279 gas stations, operations at 11 airports, and stakes in 2 logistics companies.
The deal is expected to take three to four months to complete, and is subject to "compliance with certain prior conditions," says Petrobras.
The transaction is said to have been carried out using a competitive bid process and be part of Petrobras' 2015-2016 Disposal Plan.
In May, Petrobras announced that the company and Pampa Energía S.A. (Pampa Energía) had completed negotiations in the sale of a 67.19 percent stake in Petrobras Argentina (PESA), owned by Petrobras Participaciones S.L., for $892 million.
