Polish energy company, the ORLEN Group has finalised the purchase of 266 service stations in Austria, currently operating under the Turmöl brand (4 July).
Following the transaction, ORLEN will be among the three largest fuel chains in Austria, with a 10 per cent share in the retail market.
“We’ve established a modern corporation that is rapidly solidifying its position in Europe. Originally, our plan was to build an ORLEN network of 3,500 fuel stations in the region by 2030. With this entry into the Austrian market, we’re now on track to achieve our strategic objectives at a significantly accelerated rate, nearing 97 per cent,” said Daniel Obajtek, CEO and President of ORLEN’s Management Board.
The Austrian company, which will be acquired by ORLEN, also provides a network of chargers for electric cars under the Turmstrom brand with 35 charging points in 29 locations.
“This rapid progress is possible thanks to the formation of a powerful entity through the merger of ORLEN with Grupa LOTOS and PGNiG. As a consolidated group, we have significantly expanded our capabilities, including financial ones, to achieve the goals set out in our strategy, especially in the retail segment. We’ve recalculated the total synergies resulting from our mergers, and they are twice as high as our initial estimates prior to the merger. Across all business lines, they’re projected at 20 billion złotych [4.5 billion euros]. As previously announced, we intend for these funds to support the implementation of new development projects for the merged group over the next decade. Our primary focus is on initiatives that enhance the value of the ORLEN Group and enhance the energy security of both Poland and the region,” Mr Obajtek added.
The ORLEN Group plans to use its own funds to finance the acquisition of the Austrian company and its fuel station network. The completion of the transaction is subject to approval from antitrust authorities and is expected to take place in late 2023 or early 2024.
At present, the Group operates a total of 3,156 stations, with 39 per cent of them located outside Poland. After acquiring the Turmöl network, the number of stations will increase to 3,422, resulting in foreign stations making up 44 per cent of ORLEN’s retail network.
ORLEN Group’s expansion in the retail sector and other important industries is a direct outcome of strategic mergers with fuel and energy companies, the company underlined in a press release.
The company recently conducted an analysis to quantify the advantages of these mergers. The most significant benefit identified is projected to consistently increase EBITDA in the upcoming years, potentially increasing it by up to 3 billion złotych (675 million euros) annually, ORLEN said.
