French fuel distributor Rubis SCA is reportedly in discussions to combine with Trafigura Group’s fuel retail business, Puma Energy. This potential deal, which could involve a cash and share transaction, aims to broaden Rubis’s geographical footprint. Puma Energy, operating in Central America and Sub-Saharan Africa, might be valued at up to €2.5 billion ($2.9 billion) if the combination proceeds.
Rubis is exploring this potential combination as a strategic move to expand its geographical presence beyond its current operations in Europe, Africa, and the Caribbean. Puma Energy, which distributes fuels, lubricants, and bitumen across Central America and Sub-Saharan Africa, could represent a significant acquisition for Rubis. Sources suggest that Puma Energy could be valued as high as €2.5 billion ($2.9 billion) in such a deal.
The deliberations are ongoing, and there is a possibility that no agreement will be reached. Representatives for both Trafigura and Rubis have declined to comment on the matter. This potential deal comes at a time when Rubis has been under pressure from major shareholders, including Patrick Molis and Ronald Sämann, to reconsider investments and boost the company’s valuation. The general partners of Rubis, Jacques Riou and Gilles Gobin, along with Gobin’s daughter Clarisse Gobin-Swiecznik, hold significant sway over the company due to its partnership structure. As part of the potential deal with Trafigura, Rubis’s general partners might consider abandoning the company’s limited partnership status in exchange for a larger stake.