The Petrol Group closes Crodux Derivati Dva d.o.o. acquisition to consolidate its position as the second largest provider of petroleum products in Croatia

After having fulfilled the suspensive conditions, Petrol d.d., Ljubljana has closed the acquisition of a 100% business share in the Croatian company Crodux Derivati Dva d.o.o. at the price of EUR 191.7 million. At the same time, Petrol d.d., Ljubljana will assume a net financial debt to banks in the amount of EUR 19.2 million. The purchase and refinancing of the assumed debts are financed with an international syndicated loan of EUR 200 million organised by NLB d.d. in cooperation with Privredna Banka Zagreb d.d. The transaction closing will be followed by the integration of Crodux Derivati Dva d.o.o. into the Petrol Group and the subsequent merger of the acquired company with Petrol d.o.o. Zagreb, which is expected to be finalised by the end of 2022. The Petrol Group is this way consolidating its position as the second largest petroleum product provider in Croatia.

The acquisition of Crodux Derivati Dva d.o.o. is Petrol d.d., Ljubljana’s largest acquisition in the last decade and with 93 new points-of-sale it is the greatest one-off increase in the number of points-of-sale in the Petrol Group’s history. With a total of 204 points-of-sale, the Petrol Group’s market share in Croatia will increase from 13% to 23%. In the SEE region, the Petrol Group will now have a total of 594 points-of-sale. Crodux Derivati Dva d.o.o.’s EBITDA for 2021 is estimated at EUR 37 million (without IFRS 16 effect).

“Today is an extremely important day for Petrol. The number of Petrol Group’s dedicated, passionate and knowledgeable employees has increased to more than 6,000. We would like to extend a warm welcome to all new colleagues from Crodux Derivati Dva d.o.o. Welcome to the Petrol Group. We firmly believe that employees are the heart of every company and together, we will not only be larger but also stronger and better. By connecting two strong brands we will offer the best of both to customers, employees and shareholders. As the leading partner in the energy transition, we will continue to build a forward-looking ecosystem of sustainable and, most of all, modern and digitalised solutions. We plan to transfer best practices, thereby becoming the leading provider of fuels and sustainable energy solutions in Croatia by 2025. With today’s acquisition, Croatia has become our second home,” explained Nada Drobne Popović, President of the Management Board, Petrol d.d., Ljubljana.

Ivan Čermak, owner and founder of Crodux Derivati Dva d.o.o., said: “Crodux Derivati Dva d.o.o. is one of the most important petroleum product sellers in the Croatian market. In eight years, we have increased the retail network of modern service stations by almost a half. By offering high-quality fuels, a versatile merchandise mix, and a wide range of food products and beverages in our cafes, we have gained a wide group of loyal customers. Our more than 1,100 highly motivated employees have made an important contribution to Crodux being recognised as a trustworthy partner. We share the same values as Petrol and we are both focused on providing our customers with top-quality products and services; therefore, I truly believe in the success of the newly merged company.”

Crodux Derivati Dva d.o.o. will remain an independent company until its final merger with Petrol d.o.o., Zagreb. The merged company will be the second largest petroleum product provider in Croatia: sales revenue (including excise duties) of Petrol d.o.o., Zagreb and Crodux Derivati Dva d.o.o. for 2020 would together amount to roughly EUR 1 billion, thereby ranking it among the largest companies in Croatia.

At the Petrol Group, we want to be the first choice for shopping on the go by ensuring an excellent, wow user experience. We will pursue this strategic objective by merging Crodux Derivati Dva d.o.o. with Petrol d.o.o., Zagreb. The shared, wide retail network in strategic locations will make our products and services even more accessible to our buyers, and it will also attract new ones. For now, we will keep both brands on the market, as both are strong and recognisable. 

The slogan “Everything for you and your vehicle” is assurance that Crodux Derivati dva d.o.o. and Petrol d.o.o., Zagreb points-of-sale will offer high-quality fuels and a wide range of merchandise, services, and food and beverages. At the Petrol Group, we place a strong emphasis on developing modern fuels. To this end, we launched in 2021 a new generation of Q Max fuels that ensure lower consumption, higher energy efficiency and fewer emissions. We are also expanding and developing a network of EV charging stations.

At the Petrol Group, we are aware that good business results cannot be achieved without highly motivated and qualified employees. Our activities in the field of education and training, development and remuneration enable us to realise our potentials, improve our professional and personal competences, promote cooperation, and focus on achieving our goals. We are delighted that we will be joined by our colleagues from Crodux Derivati Dva d.o.o. with whom we will share our experience and knowledge. The merged company will have over 2,100 employees who will endeavour to provide our customers with an excellent user experience.

The acquisition of Crodux Derivati Dva d.o.o. is consistent with the Petrol Group’s Strategy for 2021-2025, which foresees that the retail network will include 627 modern points-of-sale providing a comprehensive range of on-the-go products and services to customers. The diversified retail network will also be an important competitive advantage in the future, as it is being developed by having in mind new alternative fuels, mobility trends and purchasing habits of our customers.

Crodux Derivati Dva d.o.o.’s business results are not included in the Petrol Group’s business plan for 2021; they will be included in the Petrol Group’s consolidated statements in the last quarter of the 2021 financial year. Therefore, according to our estimate, the Petrol Group’s EBITDA will increase by EUR 10 million in 2021.

By being focused on its core activity in the strategic period up to 2025, Petrol is maintaining its competitiveness whilst shifting its capacities toward the energy transition. The petroleum product and merchandise sales segment, which accounts for the majority part of the Petrol Group’s EBITDA, still has growth potential in the coming years, especially in the wider region of SE Europe, and as such it allows for increased investments in renewable energy sources aimed at ensuring a green future. “In line with the Petrol Group’s Strategy for 2021-2025, we will use the sales network in Croatia to expand the portfolio of customers in the field of energy products and energy transition services. We will also invest in renewable electricity generation,” added Nada Drobne Popović, President of the Management Board, Petrol d.d., Ljubljana.

* * *
Next