Summary
Exxon Mobil is reportedly considering disposing of its network of service stations in Hong Kong, with people close to the matter saying the sale could bring in a few hundred million dollars. The company has engaged a financial adviser and has been in dialogue with a handful of potential bidders, according to three individuals who discussed the matter on condition of anonymity.
Those people declined to be named because the information was confidential, the sources said. Separately, a Bloomberg report published on Wednesday said Exxon may be targeting a valuation between $500 million and $600 million for the assets, citing people familiar with the discussions.
The assets in question are service stations that operate under the Esso brand. Exxon Mobil supplies a range of products and services to customers in Hong Kong via that network of stations. The company’s presence in the city dates back to its first service station in Kowloon in 1926. Today, Exxon sells fuel through about 41 Esso-branded service stations across Hong Kong.
Details beyond the adviser engagement and the fact that initial bidder conversations have taken place were not disclosed by the sources. The identities of the advisers and the potential buyers, the timeline for any transaction, and whether a formal sale process has begun were not revealed in the reporting or by the people who spoke on the record for the matter.
Because the reporting is based on individuals familiar with the situation who spoke on condition of anonymity, concrete public details remain limited. The possible valuation range cited by Bloomberg - $500 million to $600 million - was presented as a potential target figure by unnamed people familiar with the matter.
No regulatory filings, formal announcements from Exxon Mobil, or confirmations from potential bidders were provided in the reporting that described these discussions and the adviser engagement. As a result, information about a definitive sale price, a binding agreement, or closing timetable was not available in the accounts provided by the sources.
Additional factual notes
- Exxon Mobil operates the stations under the Esso brand in Hong Kong.
- The company’s first Hong Kong service station opened in Kowloon in 1926.
- Exxon currently sells fuel through approximately 41 Esso-branded stations in Hong Kong.