Chevron concludes Caribbean pullout
Chevron finales sale of Caribbean assets with last round of disposals to RUBIS.
NASSAU, Bahamas, Thursday, May 3, 2012 – Chevron has divested its last remaining assets in the Caribbean with the conclusion of sale of its fuels marketing and aviation business in The Bahamas, Cayman Islands and Turks and Caicos to RUBIS.
The French multinational energy company Vitogaz, a wholly-owned subsidiary of RUBIS, will acquire a network of 39 retail stations, eight aviation facilities, six fuel terminals, one joint operation at the Lynden Pindling International Airport in The Bahamas and a commercial and industrial fuels business.
These assets, according to a release from Chevron, are in addition to another sale by Chevron in July 2011, whereby RUBIS purchased 174 service stations operating under the Texaco brand, an equity interest in an associated refinery operation, propriety and joint-venture terminals and aviation facilities.
This regional divestment of assets by Chevron follows a consolidation trend started in 2009 when it withdrew its motor fuels operations across the eastern United States, including Delaware, Indiana, Kentucky, North Carolina, New Jersey, Maryland, Ohio, Pennsylvania, South Carolina, Virginia, West Virginia, Washington, D.C., and parts of Tennessee. At that time Chevron said this move was part of a long-range strategic plan that took into account the realities faced by the global economic downturn and focused the company on its areas of strength.
While the California-based oil and gas giant continues its retreat from the region, French multinational RUBIS is projecting strong growth in 2012 based on these acquisitions.
The company's 2011 annual results, obtained by Guardian Business, reveals a "new record" fiscal year with 30 percent growth in volume and 27 percent in net profit.
In 2011, the report also stated that RUBIS spent nearly $331 million in investments and acquisitions, either paid or initiated, providing further clues into the price tag of assets in the Caribbean.
The "promising integration" of the Caribbean zone purchases positions RUBIS as one of the leading independent operators in the region, the report added, with acquisitions in The Bahamas specifically listed as a driver of revenue going forward.
"Following on from these recent years, opportunities for external growth continue to appear, providing the group with new prospects for growth," it stated.
The response to the high-profile acquisition has been met with less enthusiasm among gas retailers here at home.