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Oil trader Gunvor sounded out rivals to sell itself - WSJ

Published 07/04/2017, 13:06
Updated 07/04/2017, 13:10
© Reuters. CEO of Gunvor Group, Torbjorn Tornqvist speaks during the Oil & Money conference in London
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(Reuters) - Gunvor Group Ltd (GGL.UL), one of the world's largest oil traders, has discussed a possible sale of the company with at least two competitors, the Wall Street Journal reported on Friday, citing people familiar with the matter.

Any potential deal would further consolidate a sector already dominated by a handful of players such as Glencore (L:GLEN), Vitol, Mercuria and Trafigura.

However, Gunvor Chief Executive Torbjorn Tornqvist said the company had no sale plans at this time, the Journal reported.

"I expect to remain a dominant shareholder in the group for the foreseeable future," Tornqvist told the Journal via email.

Tornqvist is the majority owner of the closely held Swiss firm, which also trades coal, liquefied natural gas, biofuels, power and emissions.

Tornqvist said last week 2017 would be focused on building up the commodities trader's U.S. interests, and added that he expects to announce a buyer for Gunvor's stake in a Rotterdam terminal by the end of June.

Gunvor on Monday said net profit fell to $315 million (254 million pounds) in 2016, from a record $1.25 billion the year before that was boosted by asset sales.

© Reuters. CEO of Gunvor Group, Torbjorn Tornqvist speaks during the Oil & Money conference in London

The company did not immediately respond to a request for comment when contacted by Reuters.

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