New ORLEN service stations in Germany
The ORLEN Group is finalising the purchase of 17 service stations in Bavaria and Baden-Württemberg in southern Germany. The transaction will help the Group to expand its retail network to 604 locations and also to extend its geographic reach as most ORLEN service stations have so far been located in western and northern states. The transaction in Germany will be funded with proceeds from the sale of part of LOTOS service stations, one of the European Commission’s merger remedies. The acquisition is expected to close by the end of February after the Group obtains clearance from the German antitrust authority and other approvals.
– In our strategy, we have set ourselves a clear goal of expanding our retail network abroad, and we are consistently delivering on that goal. We are investing funds raised from the sale of LOTOS service stations in Germany this time. We are stepping up the network expansion and strengthening our foothold in southern states – said Daniel Obajtek, President of the PKN ORLEN Management Board.
Once closed, the transaction will help the ORLEN Group solidify its position as the sixth largest service station operator in Germany. The 17 modern self-service stations will be acquired from Austria’s OMV. The stations are located in the southern states of Bavaria and Baden-Württemberg. 12 of the 17 sites are located on the premises of Aldi Süd discount stores. The station format allows customers to purchase high-quality fuel and pay directly at the pump. The rebranding process will be completed within three months of the acquisition.
The retail network operated by the ORLEN Group in Germany comprises 587 outlets today. The ORLEN Group established its retail presence in Germany following a 2003 decision of the German antitrust authority to clear BP’s acquisition of shares in the service station operator Aral, which was made conditional on the sale by BP of 4% of BP/Aral’s total share of the German retail market. 495 service stations, most of them located in northern and western states, were acquired by the ORLEN Group at the time. The Group has invested over EUR 300m in Germany over the past decade, mainly to expand and upgrade the service station network.
In line with the ORLEN2030 strategy, the Group targets 3,500 service stations in at least six Central European markets by 2030. The share of foreign operations in the Group’s retail network is expected to increase from 37% to 45%.
