REG-TotalEnergies SE Service Stations in Europe: TotalEnergies Partners with Alimentation Couche-Tard in Belgium and Luxembourg and Sells its Networks in Germany and the Netherlands

TotalEnergies SEAnnouncement

16/03/2023 08:15

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Service Stations in Europe: TotalEnergies Partners with Alimentation
Couche-Tard in Belgium and Luxembourg and Sells its Networks in Germany and
the Netherlands

 

TotalEnergies (Paris:TTE) (LSE:TTE) (NYSE:TTE) and Canadian convenience store
leader Alimentation Couche-Tard (“Couche-Tard”) have signed agreements
covering TotalEnergies' retail networks in four European countries. Under
these agreements, TotalEnergies will partner with Couche-Tard in Belgium and
Luxembourg and sell its networks in Germany and the Netherlands to the
Canadian firm:


 * In Belgium and Luxembourg, TotalEnergies and Couche-Tard will form a joint
venture (TotalEnergies 40%, Couche-Tard 60%) that will own and operate 619
service stations. TotalEnergies is a market leader in these two countries, and
the partnership with Couche-Tard will accelerate the transformation of these
assets by maximizing their non-fuel sales.


 * In Germany and the Netherlands, TotalEnergies will sell 100% of its networks
to Couche-Tard, including 1,198 service stations in Germany and 392 in the
Netherlands. The Company is not a market leader in these two countries, and
the expertise of a convenience store retailer is crucial. TotalEnergies will
focus instead on developing new mobilities (electric and hydrogen) in these
countries.

The service stations in the four countries will remain under the TotalEnergies
brand as long as the fuel is supplied by the Company, for at least five years,
notably from its refineries in Antwerp (Belgium) and Leuna (Germany).

The planned transaction, based on an enterprise value of €3.1 billion
(equivalent on a post-tax basis to more than 15 years of net cash flow),
covers the service station networks and the B2B fuel card activities.
TotalEnergies will retain its activities related to off-station electric
vehicle charging (charging hubs), hydrogen retail and wholesale fuel business,
as well as the AS 24 service station network for trucks.

A Transaction Aligned with Europe's and TotalEnergies' Net Zero Ambition

With its Green Deal and Fit for 55 legislative package, the European Union has
taken practical steps toward achieving its ambition to become the first
carbon-neutral continent. As part of this ambition, the European Parliament
voted to end new sales of combustion-engine vehicles by 2035 to promote the
development of zero-carbon vehicles. These major trends are prompting
TotalEnergies to make decisions regarding the future of its retail networks in
Europe, which will see their fuel-related revenues decline, while electric
vehicles will charge more often at home and at work, and less often in service
station.

This transaction is aligned with TotalEnergies’ strategy to become a
multi-energy company and its ambition to get to Net Zero by 2050, together
with society. In particular, TotalEnergies has set a target of reducing its
petroleum product sales by 30% by 2030 so that its fuel sales and refining
throughput do not exceed its oil production. Since 2015, TotalEnergies has
divested its service station networks in Italy, Switzerland and the United
Kingdom.

Conversely, this strategy is leading TotalEnergies to develop actively in new
mobilities. In electric mobility, the Company is accelerating growth with a
plan to deploy charging points on major roadways and in large cities in
Europe. In hydrogen, TotalEnergies is notably developing a European network of
hydrogen stations for trucks in partnership with Air Liquide.

TotalEnergies and Couche-Tard, a Forward-Looking, Win-Win Transaction

In this context, TotalEnergies has been looking at ways to develop non-fuel
revenues in its retail business. Service stations are becoming service hubs
with shops, car washes, food services and other convenience features, rather
than just fuel outlets. For this reason, TotalEnergies decided to partner with
Couche-Tard and capitalize on its recognized expertise in operating
convenience stores in service stations.

Couche-Tard, founded in 1980, is a world leader in 24/7 convenience stores
offering food services, a shop and a service station. Couche-Tard has more
than 14,000 sales outlets in North America, Asia and Northern Europe and over
120,000 employees. With these agreements, Couche-Tard will provide its
expertise to the TotalEnergies network and brand. During previous operations
of this kind in Europe, Couche-Tard demonstrated its ability to integrate new
teams and develop their skills.

This planned transaction is subject to the usual conditions, including the
consultation processes of employee representatives and securing of the
mandatory authorizations from competition authorities. TotalEnergies and
Couche-Tard aim to close the transaction by the end of 2023.

***

About TotalEnergies

TotalEnergies is a global multi-energy company that produces and markets
energies: oil and biofuels, natural gas and green gases, renewables and
electricity. Our more than 100,000 employees are committed to energy that is
ever more affordable, cleaner, more reliable and accessible to as many people
as possible. Active in more than 130 countries, TotalEnergies puts sustainable
development in all its dimensions at the heart of its projects and operations
to contribute to the well-being of people.

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Cautionary Note

The terms “TotalEnergies”, “TotalEnergies company” or “Company” in
this document are used to designate TotalEnergies SE and the consolidated
entities that are directly or indirectly controlled by TotalEnergies SE.
Likewise, the words “we”, “us” and “our” may also be used to refer
to these entities or to their employees. The entities in which TotalEnergies
SE directly or indirectly owns a shareholding are separate legal entities.
TotalEnergies SE has no liability for the acts or omissions of these entities.
This document may contain forward-looking information and statements that are
based on a number of economic data and assumptions made in a given economic,
competitive and regulatory environment. They may prove to be inaccurate in the
future and are subject to a number of risk factors. Neither TotalEnergies SE
nor any of its subsidiaries assumes any obligation to update publicly any
forward-looking information or statement, objectives or trends contained in
this document whether as a result of new information, future events or
otherwise. Information concerning risk factors, that may affect
TotalEnergies’ financial results or activities is provided in the most
recent Registration Document, the French-language version of which is filed by
TotalEnergies SE with the French securities regulator Autorité des Marchés
Financiers (AMF), and in the Form 20-F filed with the United States Securities
and Exchange Commission (SEC).

TotalEnergies Contacts

Media Relations: +33 (0)1 47 44 46 99 l presse@totalenergies.com
(mailto:presse@totalenergies.com) l @TotalEnergiesPR

Investor Relations: +33 (0)1 47 44 46 46 l ir@totalenergies.com
(mailto:ir@totalenergies.com)



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