Mergers & Acquisitions

Rubis completes acquisition of Galana Group in Madagascar

Rubis completes acquisition of Galana Group in Madagascar
Photo courtesy of Galana.

Rubis has completed the acquisition of the Galana Group in Madagascar, the country’s largest petroleum products distributor. In fiscal year 2016, the Galana Group generated sales of USD215 million.

With 260,000 cbm of oil products distributed in 2016, Galana is active in the following market segments: fuel retail network (71 stations), commercial (including mining and power generation sectors), LPG and lubricants. In support of its distribution activity, the company has a strategic and autonomous import logistics tool, consisting of the only storage of imports of petroleum products of the island in Tamatave, with access to sea transport. Galana brings together all the strategic criteria sought by Rubis in distribution: a leading position with a 30% market share, combined with a unique logistical position. This acquisition also offers compelling synergies with the region’s supply logistics.

Established in 1991, Galana is a privately owned group of companies specialising in trading, shipping, terminal storage and distribution of refined petroleum products in East and Southern Africa, as well as the Indian Ocean Islands. Galana’s activities are run from six offices, namely Dubai (main headquarters), Mauritius (downstream headquarters), Madagascar, Mozambique, Kenya and Tanzania.

Already present in Réunion (SRPP) in the distribution of petroleum products (240,000 cbm), Rubis through the acquisition of the Galana Group, is increasing its presence in the distribution of fuel and fuel oil in the Indian Ocean. Volume consolidation in this growing area is expected to generate economies of scale over time. Since the end of 2016, the Rubis Group has acquired full control of Delta Rubis in Turkey. It has also announced the full takeover of Dinasa, the largest petroleum products distribution company in Haiti, adding to its already strong footprint in the Caribbean zone.

Rubis Terminal stores liquid products, including petroleum products, chemical products, fertilizers, edible oils and molasses, both imported and produced locally, to be distributed or reintegrated into the production chain. A leader in France, Rubis Terminal is accelerating its international development with the extension of its terminals in the Netherlands (Rotterdam), Belgium (Antwerp) and Turkey (Ceyhan).

Rubis has been present in Southern Africa since 2011 after buying Shell’s LPG distribution subsidiaries in South Africa, Botswana, Lesotho and Swaziland. In early 2012, Rubis added to its assets in this region by acquiring the LPG distribution business of Puma Energy in Botswana. Rubis started its LPG distribution business in Madagascar in 2001, using its own logistics structures: the Mahajanga import terminal (5,000 cbm) and two filling plants.

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