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Viva Energy finalises OTR Group acquisition

Viva Energy has completed the acquisition of OTR Group for roughly $1.215 million

Viva Energy has announced it has completed the acquisition of OTR Group, with the deal finalised from March 28 onwards.

Viva says the acquisition advances its strategy to transform into a leading convenience and mobility business that leverages OTR Group’s advanced convenience and quick service restaurant (QSR) offering.

“This announcement marks a critical step forward in the Convenience & Mobility business’s ambition to grow earnings beyond $500 million over the next five years,” Viva Energy CEO and managing director Scott Wyatt says.

“Having completed the OTR Group and Coles Express acquisitions, we will extend our world-class convenience retail offering across the largest company-operated network in Australia, with a pathway to more than 1,000 stores.”

OTR Group comprises a network of 226 stores, including 195 fuel and convenience stores and 31 stand-alone stores, with 42 of these located outside South Australia. The business has leasehold rights to a growth pipeline of 85 sites across Australia that will be developed into new OTR stores over the coming years, with Viva now having access to this.

Viva Energy has paid $1.215 million to Peregrine Corporation for the acquisition.

Viva Energy says the strategic rationale for the acquisition is to have access to approximately $60 million of synergy opportunities across the broader Viva Energy business.

Following the acquisition, Viva Energy Convenience & Mobility CEO Jevan Bouzo will lead a team in the convenience sector that includes OTR Group and Coles Express businesses, as well as existing Viva Energy retail.

To support Bouzo, OTR founder Yasser Shahin has been retained by Viva Energy as a consultant for two years, with his expertise to help focus on the roll-out of the OTR offer across Viva Energy’s network.

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