Milbank, Tweed, Hadley & McCloy LLP has advised Seaoil Philippines, Inc., the country’s largest independent fuel operator, in a strategic partnership with Caltex Australia Petroleum Pty Ltd. Caltex will acquire a 20% equity interest in Seaoil.
The transaction, valued at US$100 million, will allow Seaoil to benefit from Caltex’s support for continued growth strategy.
As noted in the announcement issued by the companies, the new strategic partnership will see Caltex Australia support Seaoil’s current growth strategy, which aims to double the Company’s retail network and terminal storage capacity over the next five years. As part of the formation of the strategic partnership, Caltex Australia will supply fuel to Seaoil via Ampol, its fuel sourcing and shipping business in Singapore.
Partner David Kuo and counsel Paul Pery led the Hong Kong-based Milbank team, which included associate Caesareo Singzon. Capital Markets partner James Grandolfo also advised on the transaction.
“We are pleased to have been asked by Seaoil to advise on such an important deal for them, which will help support the company’s growth strategy and provide accessible fuels to the fast-growing Philippine market,” said Mr. Kuo.
Mr. Pery added: “The success of the deal reinforces Milbank’s strength in corporate and capital markets practices in Southeast Asia and reinforces Milbank’s status as a ‘go-to’ firm for innovative and complex transactions.”
Milbank’s Asia practice is highly respected and the accolades the team has received reflect its prominence in the market. Most recently, the team was awarded FinanceAsia’s “Best Philippines Deal” for advising on the $1.2 billion rights offer of common shares by BDO, the largest-ever equity capital raise out of the Philippines. The team was also honored to receive the first-ever "Most Innovative US Law Firm in Asia" accolade from International Financial Law Review (IFLR).