May 29, 2015 [OPIS] - Varo Energy, a joint venture between Vitol and equity group The Carlyle Group, is to merge with Argos, the Rotterdam-based oil trading, storage and distribution company, the company announced today.
The new company, which will retain Varo Energy’s name, will have an expected total annual throughput of 16 million cubic meters and will comprise physical trading operations, refineries in Switzerland and Germany, and almost 50 tank terminals across five countries in northwest Europe.
The new company will be owned in equal parts by Argos’ current shareholders, Reggeborgh and Atlas Invest, Carlyle International Energy Partners and Vitol.
Varo Energy owns refineries in Bavaria and Cressier, where it produces oil products including gasoline, diesel and heating oil.
It also owns 1.7 million cbm (10.7 million bbl) of inland storage capacity across 21 German sites.
Argos owns 19 tank terminals across the Netherlands, France, Belguim and Switzerland, according to information on its website.
Varo Energy did not disclose the financial terms of the deal, which is expected to close in the third quarter of 2015.
Varo Energy completed the takeover of German oil product trader and wholesale distributor Gekol Mineraloelhandel at the beginning of May.
