This news is classified in: Traditional Energy Natural Gas & LNG
May 15, 2015
UGI Corporation announced today that its wholly owned subsidiary, UGI France, has obtained approval from the French Competition Authority to complete its previously announced acquisition of Total’s liquefied petroleum gas (LPG) distribution business in France (“Totalgaz”). This is the final regulatory approval required for the acquisition to close. The purchase price is approximately €400-€450 million.
John L. Walsh, president and chief executive officer of UGI Corporation, said, “We are pleased to reach this important milestone and anticipate closing the transaction in the coming weeks. This acquisition represents another important step in our growth strategy and a sizable expansion of our European footprint. We have a long operating history in France and look forward to both welcoming the Totalgaz employees to UGI and expanding our scale within this highly attractive market. We will share more details with our investors once the transaction is complete.”
Based on retail gallons distributed, Totalgaz is comparable in size to UGI’s existing Antargaz business in France, with both businesses selling to residential, commercial, industrial, and autogas customers. Antargaz has a slightly higher proportion of cylinder and small bulk sales, while Totalgaz has a slightly higher proportion of sales to large bulk customers.
As previously announced, UGI Corporation will be presenting at the American Gas Association Financial Forum on May 18, 2015, and will provide an update on the transaction at that time.
