Rubis has made an irrevocable offer to Shell and Total to buy SRPP (Société Réunionnaise de Produits Pétroliers), a storage terminal located on the Indian Ocean island of Réunion.
Shell and Total each own 50 percent of SRPP. Rubis proposes to purchase the entire share capital of the company. In reply the two oil majors have accepted to open an exclusive period of negotiation.
SRPP markets fuels, LPG and lubricants in Réunion. With a retail network of 51 petrol stations, SRPP is also the local market leader. The company owns and operates the main storage facility and other logistics used to supply the Island. In 2014, its turnover has reached €250 million. A new decree issued in February 2014, setting local prices and margins for the petroleum industry, will allow SRPP to generate a normative EBITDA of near €22 million.