Decision on oil refiner Italiana Petroli's sale expected around end-June
Italiana Petroli, which is currently in talks with three suitors interested in buying the oil refiner, is expected to take a decision on the potential €3-B ($3.5 B) deal around the end of this month, two sources with knowledge of the matter said on Thursday.
Global commodity trader Gunvor, State Oil Company of Azerbaijan (SOCAR) and Abu Dhabi-based Bin Butti Group have all presented binding offers to buy the 100% of the privately-held group, sources previously said.
One of the two sources said that other industrial groups from the Middle East have reached out to the Italian company to signal their interest in case ongoing negotiations fall through and the seller decides to re-open the process.
One of the sticking points in current talks is the valuation, the sources said, adding the seller - the Brachetti Peretti family - is seeking around €3 B.
Italiana Petroli and Gunvor declined to comment. SOCAR and Bin Butti Group were not immediately available to comment on negotiations.
The refiner last year posted an adjusted core profit of nearly €500 MM and had net cash of €408 MM at end-December.
The group, which is being advised by UniCredit, has a total refining capacity of around 200,000 bpd. It also has a network of 4,600 fuel stations.
It increased its refining and fuel storage capacity in late 2023 when it finalized the acquisition of Exxon Mobil's Italian assets.
It currently owns a refinery in Ancona, eastern Italy; the SARPOM refinery in Trecate in the north; and has a tolling contract for the Alma refinery in Ravenna, towards the northeast.
Trecate deals with the production of different kinds of fuel, including aviation propellant, while the other two plants produce bitumen.
SOCAR is being advised by Italy's Intesa Sanpaolo IMI CIB. Rothschild is working with Gunvor.
($1 = €0.8633)
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