Tuesday, September 30th9.2°C
23366
22916

No plans to buy a minority stake in China's Sinopec: Couche-Tard says

MONTREAL - Alimentation Couche-Tard Inc. (TAX:ATD.B) says it has no plans to buy a minority stake in China's Sinopec Sales.

In a statement issued Tuesday night, the Quebec-based operator of convenience stores and filling stations in North America, Europe and Asia, denied media reports that it was interested in bidding for a stake in Sinopec.

"A number of media outlets have reported that . . . (Couche-Tard) is among a handful of companies rumoured to be pursuing the acquisition of a minority stake in China's Sinopec," it said.

"Couche-Tard has no plan to invest in the Sinopec placement at this time. Furthermore, should Couche-Tard have material information to communicate, it would be timely circulated through a press release disclosing the news to the market," it said

State-run Sinopec, formerly known as China Petroleum and Chemical Corp., has said it is planning on selling a 30 per cent interest in Sinopec Sales by the end of the year.

Citing unidentified sources, Reuters news agency said Couche-Tard had been approved to join the bidding process for a stake in Sinopec Sales, along with China's Tencent Holdings Ltd., China Life Insurance Co Ltd., ENN Energy Holdings Ltd., Fosun Group, Hopu Investment Management and Affinity Equity Partners.

However, RBC Capital Markets analyst Irene Nattel had said in a note to clients it wouldn't make sense for Couche-Tard since the Quebec company would have little, if any, control over the Chinese company.

"ATD (Couche-Tard) remains active on the acquisition hunt and as a key global player in the consolidating c-store (convenience store) industry, we would expect management to take a close look at potential transactions of all shapes and sizes," she wrote in a note to clients.

However, the potential deal exceeds the amount she believes Couche-Tard has set aside for acquisitions, adding that "a transaction of this magnitude would also likely delay any credit rating upgrade, which the company has been hoping for and working towards."

Couche-Tard has been actively looking for acquisitions as it tries to grow its network of stores internationally.

It currently has more than 6,200 convenience stores and gas stations in North America and more than 2,200 in Europe as well as licensing agreements for 4,600 stores that operate under the banner Circle K banner in Asia and elsewhere.

The Canadian Press


Read more Business News

23535


Recent Trending




Today's Market
S&P TSX14960.51-16.41
S&P CDNX909.29-3.47
DJIA17042.90-28.32
Nasdaq4493.39-12.462
S&P 5001972.29-5.51
CDN Dollar0.8918-0.0012
Gold1206.50-5.10
Oil89.95+0.19
Lumber333.20+0.30
Natural Gas4.124+0.003

 
Okanagan Companies
Pacific Safety0.13-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.26+0.03
Cantex0.065-0.025
Anavex Life Sciences0.184-0.001
Metalex Ventures0.0550.00
Russel Metals34.57+0.08
Copper Mountain Mining2.42-0.10
Colorado Resources0.165+0.015
ReliaBrand Inc0.019-0.001
Sunrise Resources Ltd0.065+0.045
Mission Ready Services0.32-0.02

 



23226

FEATURED Property
2045729#701 1075 Sunset Drive
2 bedrooms 2 baths
$459,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Power-save your way to a down payment

Part 2 of 2 to read Part 1, click here. 5. Dial down your vacations. New York is out. Maybe Buffalo. For West coast, maybe Seattle instead of Hawaii. Use sites like Airbnb (aribnb.ca) to find ch...


A wildly successful manufacturer

Niche food producer “Sweets from the Earth” thrives using innovation, uniqueness and an unwavering focus on quality. A neighbour’s stew turned Ilana Kadonoff off meat at the age of s...


Finding the smart money

Recently I had the privilege of working alongside André Voskuil, a local guru in the world of Alternative Financing. André has quite the reputation in the world of direct investments as ...

_








Member of BC Press Council


22814