Thailand’s Bangchak takes over Hong Kong Caltex petrol stations in HK$2.1b deal
Energy conglomerate enters Hong Kong fuel market despite fierce competition and EV shift as it aims to build a regional trading foothold
One of Thailand’s largest energy conglomerates has bought Caltex petrol stations in Hong Kong in a HK$2.1 billion (US$270 million) deal, which the firm will use as a springboard into North Asia.
Semi-privatised Bangchak Corporation Public Company on Tuesday completed the acquisition of 100 per cent of the shares of Chevron Hong Kong from Chevron Companies (China), according to a Bangchak statement.
A source said 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 petrol stations under the Caltex brand through a licensing agreement between the Thai firm and Chevron, according to an earlier statement.
Chevron Hong Kong operated a diversified energy portfolio, including industrial fuels, marine fuels and 31 petrol stations across the city, it said.
It generated revenue of HK$10.5 billion, while profit after tax reached HK$263.3 million by the end of 2024, according to Bangchak.