VARO becomes one of Europe’s largest feedstock co-processors

VARO Energy (VARO) recently reached agreement to acquire Preem Holding and Preem AB (Preem) through the purchase of 100% of the share capital of the parent company, Corral Petroleum Holdings (CPH), in an all-cash transaction. The European Commission has approved the acquisition. Preem is one of the largest energy companies in Scandinavia. The company plays a critical role in the region’s energy security, providing over 40% of Sweden’s and around a quarter of Scandinavia’s energy needs for transportation. It serves customers in 17 countries across Europe. An early mover in renewable fuel production, Preem has invested nearly $1 billion (€879.3 million) since 2010 in the production of renewable fuels and initiatives aimed at reducing the carbon intensity throughout the value chain. As a result of these investments, Preem’s current renewable fuel production of 0.3 mtpa will rise to 1.3 mtpa with the Synsat diesel plant upgrade enabling up to 40% co-processing of renewable feedstocks. The company also has a material...