Indonesia: Acquisition Exxon Mobil to Buy Indonesia’s Largest Motorcycle Lubricant Manufacturer, Marketer
The purchase includes the acquisition of the Federal Oil brand along with a 700,000 barrel per year blending plant in the region’s Cilegon. The aim of the acquisition is to accelerate the company’s growth in the Asia Pacific area.
Texas/USA – Exxon Mobil has recently announced that it has agreed to purchase PT Federal Karyatama (FKT), one of Indonesia’s largest manufacturers and marketers of motorcycle lubricants, to enable expansion in an important international market. The acquisition includes the Federal Oil brand and a 700,000 barrel per year blending plant in Cilegon, Indonesia.
Pending shareholder, government and regulatory approvals, Exxon Mobil will acquire 100 % interest in the company from PT Mitra Pinasthika Mustika Tbk and its affiliate. The transaction is expected to close in the third quarter of 2018, if not earlier.
Founded in 1988, FKT is one of Indonesia’s leading motorcycle lubricant marketers with a nationwide distribution network supported by approximately 40 dealers, 3,200 Federal Oil Centers and more than 10,000 retailers throughout Indonesia.
Subsidiaries of Exxon Mobil and its predecessors have been operating in Indonesia for more than 120 years, and since 1979 have invested more than 23 billion dollars in the country. Exxon Mobil has more than 500 employees in Indonesia, 95 % of which are Indonesian.