S-Oil in bidding war for Australia’s United Petroleum

South Korea’s S-Oil is in a bidding war to take over Australia’s United Petroleum based in Abbotsford, Victoria.
United Petroleum announced its intention to sell part of all of its shares in June, selecting KPMG as the principal underwriter. About three or four bidders have so far submitted tenders from China and Singapore. Although United Petroleum had said it would sell 100% of its shares, it may decide to dispose of only 20% to 40%. S-Oil intends to purchase a 50% stake in the company.
The final bidding is scheduled for late December.
United Petroleum is one of the fastest growing independent companies in Australia, specializing in the retail and wholesale fuel markets, with annual sales of about USD2 billion. Investment bankers estimate that the final price tag would be around USD1 billion, including debts currently held by the company.
The company was established in 1993 with the opening of a chain of service stations/convenience stores in South Australia. It expanded operations into Victoria, and over the next two years built networks in New South Wales, ACT and Queensland.  The company subsequently acquired and developed sites in Western Australia, Northern Territory and Tasmania and now has a national network of service stations and associated tenancies.
United Petroleum vertically integrated in the mid-2000 with the acquisition of fuel import terminals in Victoria, New South Wales, Northern Territory and Tasmania.