Türkiye’s leading LPG supplier, BDY Group, and one of the world's leading independent energy trading companies, BB Energy, have signed a Memorandum of Understanding (MOU) to explore a strategic partnership and possible equity transaction, both companies announced on Friday.
The proposed deal seeks to deepen collaboration in the energy sector, with BDY acquiring an equity interest in HypcoPetrolculuk, a joint stock company in Türkiye, represented by Veysel Baday of BDY and Bashir Bassatne of BB Energy DownStream (BBED), the downstream arm of the BB Energy Group.
Both parties will conduct due diligence and negotiate transaction documents in which BBED is expected to sell 49% of its shares in Hypco Petrolculuk to BDY.
The strategic alliance aims to support the growth of Hypco Petrolculuk and both companies while also contributing to Türkiye’s energy sector and economic growth, the statement read.
The cooperation will see the two companies forge a close collaboration across logistics, trade management and structuring international deals.
According to the statement, “the partnership will further strengthen the competitive environment in the sector by growing Hypco’s network of service stations and establishing ‘HYPCO GAS,’ a new entity for the importation and distribution of LPG into Türkiye.”
Commenting on the agreement, Bashir Bassatne of BB Energy hailed the “strategic partnership” as aligning with the company’s vision for further expansion and innovation in the energy market in Türkiye.
“Through this collaboration, we aim to expand our reach to the Turkish consumer, support the growth of Hypco and leverage each other's expertise to explore new opportunities in the energy market,” Bassatne added.
For his part, Veysel Baday of BDY said the company is looking forward to working closely with BB Energy, adding, “This MOU represents a significant step towards strengthening our cooperation in the energy sector.”
Highlighting that the Hypco brand will continue to operate in Türkiye, Hypco Petrolculuk’s CEO, Hatice Tulum, said: “Hypco’s main objective is to strengthen brand loyalty through a commitment to customer service excellence and satisfaction.”
“Under this partnership, the Hypco brand will grow even stronger as a fuel and LPG distribution company by combining BDY’s LPG experience with BB Energy’s multi-decade track record of successful retail experience, extensive international trading expertise and strong commitment to environmental responsibility and innovation,” Tulum added.
The MOU is subject to further closing conditions and agreements, including satisfactory due diligence, the statement said.
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr