EMEA News
World Fuel Services to Acquire UK Fuel Distributor
World Fuel Services Corp. [NYSE:INT] (WFS) said Monday that one of its wholly-owned subsidiaries has agreed to buy Brinkworth, England-headquartered Watson Petroleum for a purchase price of £117 million ($191 million).
Watson Petroleum was said to be one of the largest fuel distributors in the United Kingdom, with 670 employees and an expected 2013 revenue of $2.2 billion.
"We look forward to welcoming the Watson Petroleum team to World Fuel Services," said Michael J. Kasbar, WFS president and chief executive officer.
"Combined with our existing land business in the United Kingdom, this transaction will further solidify Watson's position as one of the largest distributors of ground-based fuels in the United Kingdom and will provide a platform for further growth in the ground fuels space in the United Kingdom and elsewhere in Europe."
Tony Watson, managing director of Watson Petroleum Limited, stated: "We are very excited to be joining a company with the capabilities and breadth of products and services of World Fuel. Coupled with World Fuel's solid financial foundation, this transaction will allow us to expand our product and service offerings and further grow our distribution network."
The deal, which WFS said would be funded through cash-on-hand and the company's existing credit facilities, is subject to customary regulatory consents and closing conditions and is expected to be completed within the next ninety days.
