Storage terminal operator
Royal Vopak has announced that it has reached an agreement on the sale of all of its UK assets to
Macquarie Capital and
Greenergy.
Macquarie Capital will acquire 100 percent of the shares of the three wholly owned terminals: Vopak Terminal London, Vopak Terminal Teesside and Vopak Terminal Windmill, to become part of Navigator Terminals. Greenergy will acquire Vopak Holding UK, comprising Vopak's 33.3 percent investment in the joint venture Thames Oilport (former Coryton refinery). Both transactions are expected to be completed by the end of the first quarter of 2016, subject to "certain conditions", Vopak said.
The combined operational capacity (for oil, chemicals and gases) of the three terminals amounts to approximately 700,000 cubic metres (cbm). The joint venture Thames Oilport is under development and not yet commissioned.
The cash and debt free enterprise value of the divestment of Vopak's UK assets amounts to GBP 335 million and the transaction is expected to generate a net cash inflow of approximately GBP 300 million.
From a financial reporting perspective the total exceptional gain will be approximately GBP 200 million and will be recognized in 2016, Vopak said. The final proceeds are to be determined as per the completion date.
Vopak said the proceeds from the deal would be used to "further strengthen Vopak's flexibility to execute its selective capital disciplined growth strategy and to support its consistent dividend policy, while maintaining a robust financial position".
This divestment is in addition to the divestment program as announced on July 2, 2014, and following the earlier announcement on July 13, 2015, in which it was disclosed that a non-binding offer was received on all UK assets.
Earlier this year, in June, Vopak also announced the sale of Swedish entity
Vopak Sweden AB to
Inter Pipeline Ltd., a transportation and storage company based in Canada. The divested entity consisted of four terminals: Vopak Terminal Gothenburg, Vopak Terminal Gävle, Vopak Terminal Malmö and Vopak Terminal Södertälje. The decision to sell was also said to be in line with the outcome of its business review in July 2014.
