Neste to divest fuel retail business in Russia

July 7, 2019 |

In Finland, Neste Corporation signed an agreement to sell its fuel retail business consisting of 75 fuel stations and a terminal in St. Petersburg region to Russia-based oil and gas company PJSC Tatneft. The move is to enable Neste to focus on their strategic priorities and Neste MY Renewable Diesel and services in Finland and the Baltic countries.

The divestment has no impact on Neste’s Marketing & Services’ operations in Finland and the Baltic countries, according to Neste’s press release.

Pursuant to a separate agreement between Tatneft and Neste following the acquisition the retail network will continue to operate under the Neste brand for up to 5 years.

The parties have agreed that the transaction price shall remain confidential. The transaction will not have a material effect on Neste’s and Tatneft’s respective financial positions. The completion of the divestment is subject to the approval of the Russian competition authorities and the transaction is estimated to be completed by the end of 2019.

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