The company did not disclose the value of the deal.
“The decision taken by Petrom’s Supervisory Board is in line with the strategy of Petrom and OMV Group to optimize the R&M portfolio in order to improve efficiency, thus contributing to the sustainable performance necessary for growth. Parties have agreed not to disclose the transaction value. Completion is also subject to Competition Council clearance,” Petrom said in a statement.
Neil Anthony Morgan, member of Petrom’s Executive Board, responsible for refining and marketing, said Petrom LPG manages a high number of small clients and has hence high business complexity.
“This complexity of a non-core business is not in line with our strategy. Therefore, as part of our portfolio optimization process, we decided to reduce the complexity by selling this business line to a specialized company, for which bottling and distribution represents its core business,” he added.
Following the transaction, Petrom exits the bottling and distribution market but will continue to produce LPG and sell gas cylinders and auto gas through its filling stations, reads the statement.
Petrom held a 99.99% stake in Petrom LPG SA, which employs some 260 people.
The transaction will not have a material impact on Petrom’s financials, said the company.
Petrom is part of Austrian group OMV.
Crimbo Gas International is equally owned by Elena Borcea and Corneliu George Gadoiu.