JOHANNESBURG - Abu Dhabi-based fuel retailer Adnoc Distribution and South Africa's Reatile Group have agreed to acquire a minority stake in Shell Downstream South Africa.
Reatile Group is the prominent South African investment holding company.
The deal follows Adnoc's proposed acquisition of Shell's South African downstream business, which includes around 600 service stations across the country.
The transaction values the business at roughly R16 billion, and is expected to be completed in 2027, subject to regulatory approvals.
Adnoc says the partnership with Reatile supports its expansion into South Africa and strengthens its footprint on the African continent.
The UAE fuel retailer says South Africa's large consumer market, transport infrastructure investment and regulated fuel pricing framework make the country an attractive growth opportunity.