Fuel retailer Caltex Australia has won regulatory approval to expand across the Tasman and buy Gull New Zealand in a roughly $325 million deal.
Caltex on Monday said it anticipates the takeover of NZ's leading biofuel retailer will be completed by July 3 after the New Zealand Overseas Investment Office gave its consent.
The deal will be funded through a combination of existing and new bank debt arrangements and is expected to lift earnings per share by the end of its first full year of operation under Caltex, the company said in a statement.
Caltex said last year that the acquisition would build its trading and shipping capability, increase its supply base improve its retail offering with a low-risk entry into the NZ market.
"Whilst its retail network is concentrated in the northern half of the North Island of New Zealand, Gull is well placed to profitably grow via new to industry and or new supply site expansions," Caltex said in its acquisition announcement in December.
Gull has been successfully operating in the New Zealand fuel market since 1998 with 77 retail sites in total, including 55 controlled retail sites and 22 supply sites.
Caltex said it will retain Gull's brand, management and employees.
The purchase comes less than seven weeks after the petrol supplier completed its takeover of Milemaker Petroleum's fuel retail business assets in Victoria.
The $95 million deal covers 46 Milemaker service stations in Melbourne.
Caltex chief executive Julian Segal, earlier in May, said the Milemaker acquisition and Caltex's Gull New Zealand takeover were part of the company's plan to mitigate the impact of losing its 13-year alliance with Woolworths when BP struck a $1.79 billion deal with the supermarket giant last December.
Mr Segal also said the purchases would help transform Caltex from being just a transport fuels provider to being a larger convenience retail offering.
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