Forte Oil Plc, Nigeria’s foremost integrated energy solutions provider, hereby announces that
Mercuria Energy Holdings SA has acquired 17 per cent equity stake in Forte Oil Plc valued at $200 million, the Nigeria’s foremost integrated energy solutions provider, has announced .
Mercuria Energy Holding SA is the world’s third largest independent energy traders and asset operators.
The company has made an inroad into the West African energy sector through a direct investment in Forte Oil Plc.
Through this investment, Forte Oil Plc said it has secured additional working capital to continue its meteoric growth and dominance in the downstream sector, upstream services, power generation and upstream exploration in its bid to becoming Nigeria’s premier integrated energy solutions provider.
“Mercuria is joining forces with Forte Oil at an auspicious time when equitable funding and expertise is needed to expand and intensify its market penetration to give the company the leverage to further create a positive impact for all shareholders. This is another step towards projecting Forte Oil as the investment of choice as reflected in our mission statement.”
The investment, which has been approved by the Nigerian Stock Exchange and the Securities and Exchange Commission is geared towards improving the group’s working capital and would be used for the expansion of the downstream and power generation businesses in Nigeria as well as positioning itself for future opportunities in the Nigeria Oil and Gas Sector.
Mercuria Energy Group Holdings SA (the Buyer) was founded in 2004 by Marco Dunand and Daniel Jaeggi, then executives at Phibro—the commodities trader sold by Citigroup to Occidental Petroleum in 2009—and previously at Goldman Sachs. Until 2007, Mercuria was called the J&S Group and focused mostly on oil trading. As they have expanded, they have hired away traders and investment professionals from across Europe, particularly Morgan Stanley, Goldman Sachs, Louis Dreyfus Group and Electrabel in London. Mercuria’s 2013 revenue was US$ 112 billion.
The Mercuria network encompasses 38 offices in 27 countries and the Group employs more than 1000 people of 40 nationalities. The Company trades in more than 50 countries.
The investor’s core business is sourcing, supplying and trading crude oil and refined petroleum products. From these origins they have expanded the portfolio to encompass petrochemicals, biofuels, environmental products, natural gas and LNG, power, coal, iron ore and a range of other dry bulk commodities and agricultural products.
Mercuria has enhanced trading activities with strategic assets providing valuable insights into market places where they operate and enabling them to optimize the supply chain; for
