ANW Acquires Verbeke Bunkering, Potential To Pursue More Deals
Analyst Kevin W Sterling of BB&T Capital Markets maintains his "buy" rating on Aegean Marine Petroleum Network Inc (NYSE: ANW). The target price for ANW is set to $40.
Aegean Marine Petroleum Network has announced the acquisition of Verbeke Bunkering NV, a leading physical supplier of marine fuel in the Antwerp-Rotterdam-Amsterdam (ARA) region, the world’s second largest bunkering market. Although ANW has not announced the terms of the deal, the analyst believes that it is unlikely to have over paid. The analyst views the acquisition as accretive and expects the company to pursue more accretive acquisitions in the future, since the industry is fragmented and many operators do not have access to capital.
According to BB&T Capital Markets, the accretion from the deal would be $0.35 to $0.60 per year for Aegean Marine Petroleum Network, with significant cost savings and economies of scale.
