Trafigura Group Pte Ltd and Greenergy, a UK-based supplier of road fuels and a major biodiesel producer, announce that Trafigura has agreed to acquire Greenergy’s European business from Brookfield Asset Management and its listed affiliate Brookfield Business Partners for an undisclosed sum.

The acquisition is subject to customary closing conditions and regulatory approvals.

Initially founded in 1992 to supply diesel with lower emissions, Greenergy is today one of Europe’s largest suppliers of biofuels with manufacturing plants in the UK and the Netherlands and a leading distributor of road fuels in the UK.

The acquisition of Greenergy presents a unique opportunity for Trafigura to strengthen its fuel supply operations in Europe and to add the physical production and distribution of renewable fuels to its growing biofuels business. Post acquisition, the company will continue to be led by its current management team.

The combination of Trafigura’s and Greenergy’s commercial and market expertise will add value to the existing operations, and enable the company to explore opportunities for expansion into new markets and products.

In addition, Trafigura’s financial strength will provide a robust platform for growth, helping to drive Greenergy’s strategic initiatives and its decarbonisation plan.

Ben Luckock, Global Head of Oil at Trafigura, said: “As Europe transitions to a lower carbon future and the refining industry adapts to changing market dynamics, companies like Greenergy become increasingly important. This acquisition represents a major expansion of our existing biofuels and fuel supply capabilities, adding Greenergy’s production and distribution expertise and supporting customers’ transition to cleaner, more sustainable fuel options.”

Christian Flach, Chief Executive of Greenergy, said: “Trafigura brings additional understanding of global supply chains and energy markets and a track record of investing in renewables. This will further enhance our offer to customers through the energy transition and beyond.”

Trafigura Group Pte. Ltd. press release