Rubis sells its lpg business in italy

12|20|2006

Under the terms of a share transfer contract, RUBIS is selling its entire LPG business in Italy - primarily represented by the two companies of IPEM and AUTOGAS MERIDIONALE - to a group of operators active in maritime transport, terrestrial logistics and LPG trading, composed of FVH Spa and Trident Holdings Limited (a subsidiary of Aries Energy Corp).

The enterprise value of the assets sold has been set at €72.3m, to which will be added the working capital requirement assessed on the day the transaction is concluded. This transfer will generate a consolidated capital gain for the Group. For the record, in the financial year 2004, the LPG business of RUBIS in Italy realised turnover of €158.9m, operating cash flow of €7.5m and net profit of €3m.

Subject to approval from the competition authorities, the transfer is due to be finalised in the first quarter of 2006.

In a market that is slow to consolidate, RUBIS is concluding this strategic arbitrage with a group positioned in integrated logistics. Following the success of its recent capital increase, RUBIS has strengthened its financial resources in order to pursue an external growth strategy at a time when acquisition opportunities are increasing.