Petrol has sold 75 of its most profitable filling stations and a fuel warehouse in Bulgaria to Lukoil in April 2008 for BGN460 million, ending Petrol’s dominant position in the country. Proceeds from the sale will reportedly be invested in acquiring existing filling stations and constructing new ones.
The news source noted that according to market data, Lukoil now accounts for 20% of Bulgarian fuel sales, while Petrol only has a 16% share. The market shares of Austrian oil company OMV and international energy giant Shell are comparable to that of Petrol.
Petrol is reportedly mulling the sale of around 105 less-profitable outlets in smaller population centers and later adding them to its network as franchise partners. These outlets, which are operating at break-even margins, account for only 1% of the company’s total fuel sales and are not expected to bring in more than E5 million to E8 million following their sale.
Petrol, which operates around 470 filling stations in Bulgaria, is already in negotiations to offload and franchise 20 of its outlets. The news source said that industry rumors indicate that Russian billionaire investor Roman Abramovich is seeking to buy out Denis Esrhov’s majority stake in Petrol Holding, which owns 90% of Petrol.
