Empresas Lipigas S.A. announced that the Board of Directors postponed the Company’s listing on the Santiago Stock Exchange (Bolsa de Comercio de Santiago) and will await better market conditions.
“Our Company has characterized itself for its track-record and stability. We are guided by a prudent approach and a responsibility towards our employees, clients, as well as our current and future shareholders. Lipigas counts on solid and attractive fundamentals, but in light of the current volatility in the local and international markets, along with the price offers for the Company’s shares in the Order Book that was below the Board’s expectations, we believe it is prudent to postpone the listing and await improved market conditions”, informed the Chairman of the Board of Empresas Lipigas, Juan Manuel Santa Cruz.
Additionally, the Company will continue with its 2016-2020 investment plan of US$ 500 million (CLP$ 350,000 million) to be financed with other available sources of funding.
In recent years, Empresas Lipigas has consolidated its leadership position in the distribution and commercialization of gas within the residential, industrial, commercial and vehicular segments. With the start of direct import of liquefied gas (LPG) from its maritime terminal in Quintero – with an investment of US$ 63 million – the Company expanded its supply matrix and strengthened its competitive position.
At the same time, the Company has also developed the distribution of liquefied natural gas (LNG) through trucks to industrial operations with high energy consumption located away from gas networks and it has advanced in the consolidation of its operations in Peru and Colombia, which jointly represent 18% of the Company’s EBITDA. This, in addition to the recent acquisition – which should be completed in a maximum of 90 days – of Neogas Peru S.A., the distributor of compressed natural gas (CNG) that serves industrial clients and CNG service stations for automobiles.
Lipigas is an energy company that seeks to contribute to sustainable development by improving the quality of life through the commercialization of gas in Latin America. In Chile, it is a leader in the LPG field through the largest network of nationwide coverage from Arica to Coyhaique. It is present in the LPG distribution market in Colombia since 2010 and in Peru since 2013.