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PARIS–(BUSINESS WIRE)– Regulatory news:
TotalEnergies (Paris: TTE) (LSE: TTE) (NYSE: TTE) and Canadian convenience store leader Alimentation Couche-Tard (“Couche-Tard”) have signed agreements covering TotalEnergies’ retail networks in four European countries. Under these agreements, TotalEnergies will partner with Couche-Tard in Belgium and Luxembourg and sell its networks in Germany and the Netherlands to the Canadian company:
- In Belgium and Luxembourg, TotalEnergies and Couche-Tard will form a joint company (TotalEnergies 40%, Couche-Tard 60%) that will own and operate 619 service stations. TotalEnergies is the market leader in these two countries, and the partnership with Couche-Tard will accelerate the transformation of these assets by maximizing their non-fuel sales.
- In Germany and the Netherlands, TotalEnergies will sell 100% of its networks to Couche-Tard, including 1,198 service stations in Germany and 392 in the Netherlands. The company is not the market leader in these two countries, and the experience of a convenience store retailer is crucial. TotalEnergies will instead focus on developing new mobility (electric and hydrogen) in these countries.
The service stations in the four countries will remain under the TotalEnergies brand as long as the fuel is supplied by the Company, for at least five years, mainly from its refineries in Antwerp (Belgium) and Leuna (Germany).
The planned transaction, based on an enterprise value of €3.1 billion (equivalent after tax to more than 15 years of net cash flow), covers the service station networks and B2B fuel card activities. TotalEnergies will maintain its activities related to the recharging of electric vehicles outside the station (recharging stations), the retail and wholesale business of hydrogen fuels, as well as the network of service stations for AS 24 trucks.
A transaction aligned with the Net Zero Ambition of Europe and TotalEnergies
With its Green Deal and Fit for 55 legislative package, the European Union has taken practical steps to achieve its ambition to become the first carbon-neutral continent. As part of this ambition, the European Parliament voted to end new sales of combustion engine vehicles by 2035 to promote the development of carbon-free vehicles. These big trends are driving TotalEnergies to make decisions about the future of its retail networks in Europe, which will see its fuel-related revenues decline, while electric vehicles will be charged more often at home and at work, and less often at the service stations.
This transaction is aligned with TotalEnergies’ strategy to become a multi-energy company and with its ambition to reach Net Zero by 2050, together with society. In particular, TotalEnergies has set itself the goal of reducing its sales of petroleum products by 30% by 2030 so that its fuel sales and refining performance do not exceed its oil production. Since 2015, TotalEnergies has sold its service station networks in Italy, Switzerland and the United Kingdom.
On the contrary, this strategy is leading TotalEnergies to actively develop new mobilities. In electric mobility, the company is accelerating growth with a plan to deploy charging points on major roads and in major European cities. In terms of hydrogen, TotalEnergies is particularly developing a European network of hydrogen stations for trucks in collaboration with Air Liquide.
TotalEnergies and Couche-Tard, an advanced and win-win transaction
In this context, TotalEnergies has been looking for ways to develop non-fuel revenues in its retail business. Gas stations are becoming service centers with stores, car washes, food services and other convenience features, rather than just fuel outlets. For this reason, TotalEnergies decided to partner with Couche-Tard and capitalize on its recognized experience in the operation of convenience stores at service stations.
Couche-Tard, founded in 1980, is a world leader in 24/7 convenience stores offering food services, a convenience store and a service station. Couche-Tard has more than 14,000 points of sale in North America, Asia and Northern Europe and more than 120,000 employees. With these agreements, Couche-Tard will contribute its experience to the TotalEnergies network and brand. During previous operations of this type in Europe, Couche-Tard demonstrated its ability to integrate new teams and develop their skills.
This planned operation is subject to the usual conditions, including the consultation processes of the workers’ representatives and the obtaining of mandatory authorizations from the competition authorities. TotalEnergies and Couche-Tard aim to close the transaction by the end of 2023.
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About TotalEnergies
TotalEnergies is a global multi-energy company that produces and markets energy: oil and biofuels, natural gas and green gases, renewables and electricity. Our more than 100,000 employees are committed to making energy increasingly affordable, cleaner, more reliable and accessible to as many people as possible. Active in more than 130 countries, TotalEnergies puts sustainable development in all its dimensions at the center of its projects and operations to contribute to people’s well-being.
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Warning note
The terms “TotalEnergies”, “TotalEnergies company” or “Company” in this document are used to designate TotalEnergies SE and the consolidated entities that are directly or indirectly controlled by TotalEnergies SE. Also, the words “we”, “us” and “our” can also be used to refer to these entities or their employees. The entities in which TotalEnergies SE has a direct or indirect stake are separate legal entities. TotalEnergies SE is not responsible for the acts or omissions of these entities. This document may contain information and forward-looking statements that are based on a range of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future and are subject to a number of risk factors. Neither TotalEnergies SE nor any of its subsidiaries undertakes any obligation to publicly update any information or forward-looking statements, objectives or trends contained herein, whether as a result of new information, future events or otherwise. Information regarding risk factors that may affect the financial results or activities of TotalEnergies is provided in the most recent registration document, the French version of which is filed by TotalEnergies SE with the Autorité des Marchés Financiers (AMF), regulator de securities, and in the Form 20-F filed with the United States Securities and Exchange Commission (SEC).
View the source version at businesswire.com: https://www.businesswire.com/news/home/20230316005359/ca/
TotalEnergies contacts
Media relations: +33 (0)1 47 44 46 99 l [email protected] l @TotalEnergiesPR
Investor Relations: +33 (0)1 47 44 46 46 l [email protected]
Source: TotalEnergies SE
