A Hong Kong petrol station operated by Caltex. Thailand’s Bangchak will retain the brand after buying Chevron’s local business in a HK$2.1 billion (9 billion baht) deal as part of its regional expansion strategy. (Photo: South China Morning Post)
One of Thailand's largest energy conglomerates has bought Caltex petrol stations in Hong Kong in a HK$2.1 billion (9 billion baht) deal, which the firm will use as a springboard into North Asia.Bangchak Corporation Plc on Tuesday completed the acquisition of 100% of the shares of Chevron Hong Kong from Chevron Companies (China), according to a Bangchak statement.
A source told the South China Morning Post that the sale was driven by a combination of factors, including declining fuel demand, the growing popularity of electric vehicles, a rising trend of Hong Kong motorists refuelling across the border and strong competition from mainland Chinese rivals in the city.
Upon completion of the deal, Bangchak will continue to operate the service stations under the Caltex brand through a licensing agreement between the Thai firm and Chevron, according to an earlier statement.
Chevron Hong Kong operates a diversified energy portfolio, including industrial fuels, marine fuels and 31 service stations across the city, it said.
