A strategic opportunity to buy into an established refined oil products distribution businessThe Business
The Company began business as a wholesale distributor of petroleum products in 2007. The Company focuses on distribution to small traders and fuel stations, as well as to end-users, particularly companies in the transportation and in the construction industries.
Sales have grown from 3,000 tons in 2008 to 48,500 tons in 2010. Revenues for 2011 were approximately €100 million. The Company’s market share in 2011 was 12% of the large account distribution segment, which is around 750,000 tons annually. The Company principally supplies products from Lukoil Romania and OMV/Petrom, which represents 60% of its sales.
Market
Romania is a mature oil processing country with many refineries and an extensive transportation infrastructure. Romania is the leading oil producer in Central Europe, however it remains a net importer with supplies coming mainly from Kazakhstan and Russia. Three key players own five of Romania’s ten refineries: Petrom/OMV, Rompetrol Rafinare/Petrotel, and Lukoil. Refiners distribute through their own retail networks of filling stations, foreign distributors with no production facilities in Romania and small private filling stations.
The Company is seeking a strategic partner that may be interested to enter the Romanian oil market or to set up operations in Eastern Europe.
Sector: Wholesale TradeSegment: Refined Oil ProductsRegion: Central/Eastern EuropeFinancing Size: $1m to $5mContact: Cornel Dinu
Company: DAIO Investment&DevelopmentTelephone: +40 722 324 282Email: [email protected]