BusinessDay

Rainoil acquires majority stake in Eterna plc

Rainoil Limited, a key player in the downstream oil and gas industry, has completed the acquisition of majority shares in Eterna Plc, a publicly listed oil and gas company.

This was achieved using the investment arm of the firm – Preline Limited. The acquisition will allow Rainoil Limited to further scale up its business and increase its footprints across Nigeria; confirming its position as a formidable indigenous player in the downstream oil and gas sector

On December 21, 2020, Eterna Plc issued a public statement notifying shareholders, Nigerian Exchange Limited and the general public of negotiations by substantial shareholders to sell equity holdings in the company.

On August 25, 2021, Eterna Plc announced the execution of a Sale and Purchase Agreement (SPA) enabling Preline Limited acquire 794,969,774 shares.

Read also: Preline Limited acquires 60.98% stake in Eterna Plc at yet to be disclosed amount

Commenting on the transaction, Gabriel Ogbechie, the group managing director, said: “The acquisition is in alignment with our targeted expansion strategy across the oil and gas value chain, and will position the company for sustainable growth and superior value creation for all our stakeholders.

“It also underlines our commitment to Nigeria at this critical evolution point of the energy sector. We also expect that this will reinvigorate the fortunes of Eterna Plc and optimise the company for improved performance.”

Over the past 24 years, Rainoil Limited has increased its asset base to include:

Three ultra-modern petroleum product storage depots in Delta, Cross River and Lagos States, 8,000 metric tonne LPG storage facility in Lagos State, and over 100 retail outlets spread across the country.

The company’s asset also include a fleet of over 140 petroleum product tank trucks for delivery of products to its network of stations and customers across the country.

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