Vopak sells oil and petrochemical terminals in Sweden
Royal Vopak has sold the Swedish entity Vopak Sweden AB to Inter Pipeline Ltd., a transportation and storage company based in Canada.
The divested entity consists of four terminals:
- Vopak Terminal Gothenburg,
- Vopak Terminal Gävle,
- Vopak Terminal Malmö and
- Vopak Terminal Södertälje.
The combined operational capacity of these terminals is 1.3 million cbm, of which 0.3 million cbm is cavern storage.
This divestment is in line with the outcome of Vopak's business review as announced on 2 July 2014. Based on this business review, Vopak has updated its terminal portfolio criteria in accordance with the changing energy and petrochemical landscape and continuing economic shift from West to East. As part of this, Vopak announced, amongst others, its decision to divest around 15 primarily smaller terminals.
The debt free enterprise value for the divestment of Vopak Sweden AB amounts to SEK865 million, which results in net cash proceeds at completion of SEK844 million (US$102.3 million). In 2014 these terminals contributed less than 1% of Vopak's EBITDA. From a financial reporting perspective, the divestments will be reported in Q2 2015 and will result in a non-material exceptional result. The net cash flows resulting from this transaction will be used to execute Vopak's strategy.
