23 December 2011

KKCG Group acquires 16,86% stake in VEMEX

The KKCG international financial and investment group, acting through KKCG Oil & Gas B.V., has concluded the acquisition of a 16.86% stake in VEMEX Company. The deal has further strengthened KKCC's position on the Czech crude oil and gas market.

The KKCG international financial and investment group announced on 21st December the successful completion and settlement of a deal in which the company acquired a 16.86% stake in VEMEX Company. The share was purchased by KKCG Oil&Gas B.V. from the Swiss company EW East-West Consult AG. The other owners of VEMEX are GAZPROM Germania GmbH and Centrex Europe Energy & Gas AG that hold a 50.14% and 33% stake, respectively. The value of the transaction has not been disclosed.

VEMEX is one of the most important gas traders in the Czech Republic with a market share of close to 10%. The firm focuses on corporate clientele, such as Plzensky Prazdroj, Ceska rafinerska, and the Neratovice-based Spolana. This year, VEMEX has bought a 51% share in RSP Energie, a company specializing in selling gas and electric power to residential customers.

Miroslav Jestřabík, the KKCG Group's Investment Director responsible for crude oil and natural gas, says: "By acquiring a stake in Vemex, we are fulfilling our long-term strategy that is aimed at reinforcing substantially our position on the Czech market in the gas distribution segment as far as both corporate clients and individual residential customers are concerned. In addition to exploration, extraction, and storage of hydrocarbons, we see a sizeable market potential in gas sales." He adds: "At the same time, the deal deepens our cooperation with the Gazprom Group. We believe that together, we 'II be able to continue to reinforce the position of Vemex and to increase its market share in the gas trading segment."

KKCG is a multinational financial and investment group that manages assets worth over CZK 50 billion and employs more than 3,000 workers. As a strategic investor, the corporation focuses its long-term activities on crude oil and natural gas, industrial production, finances, and investing.

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