Aegean Marine Petroleum Network Inc. (Aegean) yesterday announced the completion of the previously announced acquisition of the U.S. East Coast bunkering business of Hess Corporation.
The transaction, which includes bunkering operations that averaged 1.8 million metric tons in annual sales over the past three years, is valued at $30 million plus the value of the purchased inventory and also includes approximately 250,000 cubic meters of leased tank storage. This acquisition marks Aegean’s entry into supplying customers in the U.S. and will enable Aegean to meaningfully expand its global full-service marine fuel platform and increase its exposure to U.S. clients worldwide, including leading cruise lines. Aegean expects to utilize these bunkering operations and associated assets to supply the heavily trafficked ports of New York, Philadelphia, Baltimore, Norfolk and Charleston.
“The completion of this acquisition marks another important milestone in Aegean’s history,” said E. Nikolas Tavlarios, President of Aegean Marine Petroleum Network. “Our strategy to leverage our unique business model across geographies to accelerate profitable growth is continuing to deliver results. By utilizing Hess Corporation’s established infrastructure, we believe we are well positioned to optimize these assets, grow Aegean’s revenues and further build upon our brand and service capabilities as we extend our reach to new U.S. clients. We believe this transaction will create meaningful value for all of our stakeholders and we look forward to commencing operations immediately.”
Aegean Marine, December 20, 2013