£400 Million Deal Expands Fuel Network
Essar Energy Transition’s retail arm, EET Retail, has agreed to acquire independent UK forecourt operator SGN Retail in a deal estimated at around £400 million, significantly expanding its presence in the British fuel retail market.
The acquisition will add 118 sites to EET Retail’s existing network of 117 forecourts, taking its total estate to 235 locations across the UK. The company said the expanded network will generate annual fuel throughput of more than 650 million litres.
EET Retail expects the enlarged network to make it the UK’s second-largest forecourt operator with direct integration into fuel production. The company plans to expand its network further to approximately 800 sites by 2031, which it estimates would represent around 9 per cent of the UK market.
A key element of the strategy is vertical integration with Essar’s Stanlow refinery in Cheshire. Fuel supplied to the expanded forecourt network will be sourced from the refinery, allowing EET Retail to connect fuel production more directly with retail distribution.
The company said this model could reduce reliance on imports and multiple layers within the domestic fuel supply chain. It also aims to provide competitive prices at the pump while strengthening the resilience of the UK fuel market.
EET Retail CEO Arvan Ruia described the acquisition as an important part of the company’s long-term UK strategy. The company intends to build a nationwide retail platform supported by direct refinery supply.
The transaction is being financed through a combination of cash and a new £250 million senior debt facility arranged by a group of international banks. Financial and legal advisers have also been appointed for the transaction.
SGN Retail, founded in 2016, operates 118 roadside locations across the UK, alongside convenience retail and food-to-go operations. The acquisition will therefore give EET Retail an expanded platform not only for fuel sales but also for additional consumer services.
EET Retail plans to broaden services across its forecourt network, including hot food, convenience retail, vehicle valeting and electric-vehicle charging. This reflects the changing role of traditional fuel stations as operators increasingly seek to diversify revenue streams.
The acquisition is part of Essar Energy Transition’s broader plans to expand across the UK’s energy supply chain. Its Stanlow Manufacturing Complex in Cheshire produces around 18 per cent of the UK’s transport fuels, according to the company.
Essar has also outlined an investment pipeline of £4.3 billion through 2035 for low-carbon energy transition projects in the UK, with Stanlow positioned at the centre of its plans to develop an energy transition hub in northwest England.
By combining fuel production with an expanding retail network, EET aims to build a more integrated business spanning refining, fuel distribution and consumer-facing forecourts. The SGN Retail acquisition represents a major step towards that strategy.
