CEFC to buy 51 percent of KMG International shares

Chinese company CEFC to buy 51 percent of KMG International shares

Newsroom 15/12/2016 | 12:30

Chinese company CEFC (China Energy Company Limited) is to purchase 51 percent of KMG International shares, the former Rompetrol Group.

KMG International NV (KMGI), main shareholder of Rompetrol Rafinare, announced that negotiations between national company KazMunayGas in Kazakhstan and the CEFC (Chinese Energy Company Limited) entered the final stage. Following the negotiations on the sale of 51 percent of KMG International NV shares, the Chinese will control Rompetrol Rafinare alongside KMG International.

Currently, KMG International owns 48.1 percent of Rompetrol Rafinare shares, and the Romanian state, through the Ministry of Energy owns 44.7 percent shares, with the rest being owned by other share holders.

“The agreement between NC KMG and CEFC, which certifies the firm commitment to carry out the transaction to be signed, along with a set of documents, confirming the solid partnership between the two companies,” KMG International said in a statement. According to representatives, the assets owned and operations carried by KMGI in Europe and the Black Sea region will serve as the development platform and will target both the increase of the operational and financial performance of KMGI, as well as the expansion of activities and operations carried out by CEFC at an international level.

“The strategic partnership will bring benefits to KMG NC, CEFC and KMGI and will set the necessary framework for the future common projects, contributing to the economic and social growth in the areas where these projects will be implemented, most of them being in Romania”, the statement said.