Brazilian energy giant to buy US company's assets in Brazil
15/8/2008 16:43
Ultrapar Participacoes, a Brazilian fuels and petrochemicals group, has
agreed to buy US Chevron Texaco's fuel distribution assets in Brazil for 1.16
billion reais (US$716 million), Ultrapar said yesterday.
The deal will give
Ultrapar 23 percent stake in the Brazilian market in this sector with over 5,000
service stations throughout the country.
Ultrapar will be allowed to use the
Texaco brand for up to three years in the South and Southeastern regions, and
for five years in the Northern, Northeastern and Midwestern
regions.
According to Ultrapar, the financial transition will be completed by
the beginning of 2009.
Ultrapar, the second-largest fuel station chain in
Brazil's Northern, Northeastern and Midwestern regions, acquired the Ipiranga
fuel station chain in 2007.
In 2007, Ultrapar sold 6.7 million cubic meters
of fuels, up by 8 percent from 2006. Its net income reached US$7.43 billion in
the same year.
Xinhua
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