Vivo Energy sets sights on Africa petrol stations
The Engen deal to grow Vivo’s footprint would be funded from internal cash resources
Vivo Energy will probably run at least 2,400 petrol stations across Africa by the end of 2018, according to private-equity backer Helios Investment Partners, which says it is in no rush to sell its remaining 30% stake. Vivo, which listed on the JSE last week shortly after listing in London, runs close to 2,000 petrol stations under the Shell brand, while it will add another 300 Engen-branded service stations to its portfolio in 2018. Helios, which manages assets worth $3.5bn, reduced its stake in Vivo from 45% to 30% by selling shares to institutional investors during Vivo’s listing. About 30% of Vivo’s shares are publicly listed, with a majority of those held through London. Helios co-founder Tope Lawani told Business Day the Engen deal, to grow Vivo’s footprint to 24 African markets, would be funded from internal cash resources. But Vivo may turn to the market to help fund any large acquisitions it finds in the future. Helios saw "no overwhelming pressure to divest" its remaining ...