According to the Independent Consumer and Competition Commission, Trafigura Group has filed an application for approval for a potential purchase of an additional interest in Puma Energy Group (ICCC).
On a public note, Trafigura's commissioner and chief executive officer Paulus Ain stated that Trafigura was already the largest shareholder in Puma and that after the takeover, Trafigura will have a controlling interest in Puma.
Puma Energy has three wholly-owned subsidiaries operating in the country: Puma Energy Bunkering PNG Ltd, Puma Energy PNG Ltd, and Puma Energy PNG Refining Ltd.
Oil refining or refinery at Napa Napa, wholesale and retail sales of refined petroleum products, LPG and bitumen supply are among the company's activities in the region.
The ICCC, according to Ain, is requesting input and submissions from interested stakeholders and individuals who may have an interest in the proposed transaction.
“Please provide your comments on whether or not this acquisition will have any serious harm to competition in any markets in PNG,” he said.
Puma Energy Holdings Pte Ltd, Trafigura Pte Ltd, and Sonangol EP announced last Friday that they had signed a series of agreements.
Trafigura decided to buy Puma Energy's whole shareholding from Sonangol for US$600 million, according to a statement from Puma Energy (K2.065 billion).
Puma Energy and Sonangol have decided to sell their Angolan company and properties, according to the statement.
The Pumangol retail network of service stations, airport terminals, and maritime terminals, including the state-of-the-art Terminal de Combustibles da Pumangol em Luanda (TCPL) terminal in Luanda Bay, Angola, was acquired as part of this.
Puma Energy will be able to minimize the size of the rights issue to collect US$500 million (K1.72 billion) from rights already subscribed for by Trafigura and a limited number of minority owners as a result of these deals, according to the company.
The rights were being applied into a convertible instrument in which subscribers paid Puma Energy on Wednesday, and the shares would be distributed to subscribers after regulatory approvals were received.
Rene Medori, chairman of Puma Energy, said that improving and recapitalizing the company's balance sheet was a crucial strategic goal that would help stabilize the company's finances and support investment in its aggressive growth plans.
Trafigura's executive chairman and chief executive officer, Jeremy Weir, said the company was delighted to help Puma's recapitalization and the selling of its Angolan holdings to Sonangol, a long-time ally.
“This is a further demonstration of our commitment to and confidence in Puma Energy and its future prospects.”
Meanwhile, Hulala Tokome, country manager and director of Puma Energy PNG Ltd, said that the takeover would have no effect on the company's PNG operations or customers.
