Aramco to Acquire Esmax

Aramco, one of the world's leading integrated energy and chemicals companies, has agreed to acquire all shares of Esmax Distribusción SpA ("Esmax") from Southern Cross Group, a private equity firm focused on Latin America. Completion of this transaction is subject to certain conditions, including regulatory approvals. Esmax ranks among Chile's leading diversified downstream fuel and lubricant retailers. The company's national operations include retail fuel stations, airport operations, fuel distribution terminals and a lubricant blending facility. Aramco's acquisition of Esmax marks its first foray into retail operations in South America. The transaction demonstrates Aramco's recognition of the potential in these markets and aligns with its strategy to strengthen the value chain downstream from production. The acquisition will secure sales outlets for Aramco's refined products and support expansion of its retail business internationally. Following Aramco's acquisition of Valvoline Inc.'s Global Products Business in February 2023, this purchase is expected to open new market opportunities for Valvoline-branded lubricants. Mohammed Y. Al Qahtani, President of Aramco Downstream, stated: "This transaction is another milestone in our strategy to grow Aramco's downstream presence globally and expand our retail, lubricants and trading operations. We are excited about the opportunities created by the synergies this acquisition will generate with our integrated trading and manufacturing systems. It also provides us with a platform to launch the Aramco brand more broadly in both Chile and South America, and unlocks significant potential to benefit from new markets for our products. Esmax is a well-managed operation with over 100 years of experience, quality assets and growth potential in Chile. We look forward to welcoming Esmax's talented employees to the Aramco family as we continue to execute our downstream strategy." Source