Mamoudzou, Mayotte. 20 October 2023: Vivo Energy, the leading pan-African distributor of high-quality fuels, lubricants and LPG, is pleased to announce that it has reached an agreement to acquire Somagaz, the integrated operator that imports, stores, bottles and distributes liquefied petroleum gas (LPG) in Mayotte, a market in which it is by far the market leader.

On completion of the transaction, Vivo Energy will take control of the activities of Somagaz SAS and its subsidiaries, Sigma SAS (in charge of LPG supply, storage and bottling) and SN Somagaz SAS (in charge of LPG distribution to customers) in Mayotte.

For over 27 years, Somagaz has been developing its business in Mayotte’s fast-growing LPG market, with a clear mission to ensure the security and continuity of the Department's LPG supplies, avoiding any stock shortages that could be detrimental to the people of Mayotte. The company operates in strict compliance with French and European safety, health and environmental standards. Today, Somagaz is able to meet the Department's growing demand thanks to its logistics, depot and filling centre in Longoni, which has a capacity of 1,000 tonnes. The company distributes LPG cylinders to a network of around 140 retail outlets, plus cylinder and bulk distribution to industrial customers across Mayotte.

"We are delighted to announce the acquisition of Somagaz, adding a new market to Vivo Energy’s network of 23 African and Indian Ocean countries today." said Stan Mittelman, CEO of Vivo Energy. "This acquisition fits perfectly with our growth strategy, enabling us to expand our LPG business, reach new customers and deliver further value."

On behalf of Somagaz's current shareholders, Anil Currimjee, MD, Ceejay Gas Ltd added: "After more than 27 years of developing Somagaz and growing the LPG market in Mayotte, we are convinced that the Vivo Energy Group is well placed to support Somagaz in a new phase of its development for the benefit of customers, the Department and employees. This is a simple change of control that will have no impact on the operational capacity of Sigma or Somagaz, nor on the continuation of its commercial activity and LPG deliveries to its customers.  We would like to express our gratitude to our customers and partners in Mayotte for their support over the past 27 years."

Stan Mittelman concluded: "LPG is an important component of the energy transition and is becoming increasingly popular in Africa and the Indian Ocean. It is a cleaner source of energy than traditional fuels such as wood, charcoal or paraffin. It reduces CO₂ emissions and is easier for customers to access.  Having acquired LPG businesses in Reunion and Namibia earlier this year, we are focused on accelerating the growth of our LPG business. We look forward to concluding this transaction and welcoming our future Somagaz colleagues to Vivo Energy, to continue to safely develop the LPG industry in Mayotte and contribute to its economic and social development in the years to come."

The transaction is currently subject to regulatory clearance and the fulfilment of conditions precedent. The financial details have not been disclosed.

End

Notes to editors:

Media contacts:

  Isabelle Schunk
  Vivo Energy
  [email protected]

About Vivo Energy:

Vivo Energy operates and markets its products in countries across North, West, East and Southern Africa. The Group has a network of over 2,650 service stations in 23 countries operating under the Shell and Engen brands and exports lubricants to a number of other African countries. Its retail offering includes fuels, lubricants, card services, shops, restaurants and other non-fuel services. It provides fuels, lubricants, liquefied petroleum gas (LPG), and solar energy solutions to business customers across a range of sectors including marine, mining, construction, power, transport, wholesalers and manufacturing. The company employs around 2,800 people, has access to over 1,000,000 cubic metres of fuel storage capacity and has a joint venture, Shell and Vivo Lubricants B.V., that sources, blends, packages and supplies Shell-branded lubricants.

For more information about Vivo Energy, please visit www.vivoenergy.com

About Somagaz:

Somagaz is a fully integrated operator specialising in the liquefied petroleum gas market in Mayotte. Through its three subsidiaries Somagaz, Sigma and SN Somagaz, it supplies, stores, bottles and distributes gas in cylinders and in bulk on the domestic market.

The group began operations in 1996 as an LPG distributor in Mayotte, via Somagaz, with cylinders being filled in Mauritius. In 2008, it began importing LPG in bulk, storing it and bottling it at its own facilities in Longoni via Sigma.