JAKARTA (Reuters) - ExxonMobil has agreed to acquire Indonesian motorcycle lubricant maker PT Federal Karyatama (FKT) in a $436 million transaction, FKT’s parent PT Mitra Pinasthika Mustika said on Monday.
ExxonMobil plans to buy 100 percent of FKT, including the Federal Oil brand, and expects to complete the deal in the third quarter of 2018, ExxonMobil said in a statement. bit.ly/2r9g7j8
ExxonMobil said the acquisition of FKT, one of Indonesia’s largest manufacturers and marketers of motorcycle lubricants, will accelerate its growth in the market.
“This acquisition, combined with our existing premium Mobil lubricant brand, will help us continue to grow and better serve customers in Indonesia,” said Bryan Milton, president of ExxonMobil Fuels & Lubricants Company.
Mitra Pinasthika said in a Jakarta stock exchange filing that the transaction was worth $436 million, but noted that it still needed shareholder approval.
Additional reporting by Fransiska Nangoy; Writing by Fergus Jensen; Editing by Gopakumar Warrier