Vopak reaches agreement with First State Investments on sale of terminals in Algeciras, Amsterdam and Hamburg
Today, Royal Vopak announces that it has reached agreement on the sale of its terminals in Algeciras, Amsterdam and Hamburg. This divestment follows the strategic review of these terminals as announced on 17 August 2018. The transaction is subject to certain customary closing conditions and is expected to complete in the second half year of 2019. The combined operational capacity of the three terminals is 2,288,000 cbm.
The total agreed transaction value of the terminals is EUR 723 million, including a contingent consideration of EUR 15 million, which is subject to certain revenue conditions. The transaction is expected to generate a net pre-tax cash inflow for Vopak of approximately EUR 670 million at completion in 2019. The total expected exceptional gain before taxation will be around EUR 200 million, to be recorded in the second half of 2019.
This transaction is accretive to the return on capital employed for Vopak and has an implied multiple of more than 10x EBITDA. At the completion of this transaction, the use of the proceeds will be considered in line with the strategy and financial framework as presented at the Vopak Capital Markets Day 27 November 2018.
Profile Vopak
Royal Vopak is the world's leading independent tank storage company. Vopak operates a global network of terminals located at strategic locations along major trade routes. With a 400-year history and a strong focus on safety and sustainability, Vopak ensures safe, clean and efficient storage and handling of bulk liquid products and gases for its customers.
About First State Investments
First State Investments is the international arm of Colonial First State Global Asset Management (First State), an experienced global asset manager with in excess of €127 billion managed on behalf of investors worldwide as at 31 December 2018. First State is a leading manager of infrastructure investments with over €8.0 billion of unlisted infrastructure capital under management and has been actively investing in long-life infrastructure businesses since 1994.
