Singapore-based commodity trading firm Trafigura has agreed to acquire a 31.78% stake in Puma Energy from Angolan state oil firm Sonangol for $600m.
Furthermore, Puma Energy will sell its Angolan business and assets to Sonangol for $600m.
The Puma Energy’s assets considered for sale include the Pumangol retail network of service stations, airport terminals, and marine terminals, which include Terminal de Combustíveis da Pumangol em Luanda (TCPL) terminal in Luanda Bay.
The deals are expected to help Puma Energy reduce the size of the rights issue to $500m.
Proceeds from the rights issue and Angolan business sale will be used by Puma Energy to reduce an outstanding 2018 loan.
Sonangol chairman and CEO Gaspar Martins said: “The sale of Sonangol’s entire shareholding (31.78%) in Puma Energy and the acquisition of Puma Energy’s assets in Angola represents the achievement of a strategic objective for the company.
“Today’s news is important because the sale of Sonangol’s holding in Puma Energy has been achieved through a structure that avoids Sonangol’s participation in the recapitalization efforts in Puma, and represents a solid step towards delivering the company’s privatisation programme while acquiring a business with valuable assets to its core business.”
As a result of the recapitalisation, Trafigura’s stake would increase to more than 90% in Puma Energy.
Puma Energy chairman René Médori said: “The recapitalisation and strengthening of Puma Energy’s balance sheet has been a key strategic aim, which will stabilise the Company’s finances and underpin investment in our ambitious growth plans. Puma Energy’s values of customer focus, leading by example, collaboration and agility remain as relevant to success as ever.”
The two deals are subject to receipt of regulatory approvals.