KPI Bridge Oil has agreed to acquire OceanConnect Marine from Glencore in a deal that will create one of the world’s largest bunker suppliers.
According to a press release, the merged entity, named KPI Ocean Connect, will have a 170-strong team operating across 15 locations in different time zones globally.
KPI declined to comment on the deal's financial details. TradeWinds has sought further comment from Glencore, which wholly owns OceanConnect.
The deal, subject to regulatory approval from competition authorities, is expected to be completed within months.
KPI Bridge Oil’s chief executive Soren Holl, who is expected to lead the new entity, said: “Our people remain our strongest asset and will play an important role in driving our growth strategy and delivering added value for our business partners going forward.”
“All team members will benefit from fresh opportunities, being part of an ambitious new company, and we will continue our strong focus on personal and professional development as well as on providing outstanding career opportunities globally.”
Having been acquired by Chemoil in 2011, OceanConnect has retained its trading name.
In 2009, the family of Chemoil founder Robert Chandran sold its majority stake in the firm to Glencore. The trading giant eventually took Chemoil private in 2014.
“Both KPI Bridge Oil and OceanConnect are known for having a partnership-based approach to business with a focus on building long-term relationships and sustainability,” OceanConnect’s managing director SI Shim said.
“The formation of KPI OceanConnect will be timely in relation to the new 2020 market dynamic and the demand for a consultative approach to fuel procurement.”
