Top Line poised for Visayas expansion with acquisition of Total Oil & Gas assets

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Top Line's acquisition of Total Oil & Gas assets will help expand its retail arm Light Fuels beyond Cebu

MANILA, Philippines – Cebu-based oil firm Top Line acquired several assets from Total Oil & Gas (TOGRI) and Ballston Metro Corporation (BMC) in its biggest investment to date.

In a disclosure to the Philippine Stock Exchange on Tuesday, July 8, Top Line announced it acquired the following assets from the two firms:

• 38 retail fuel stations
• A 2 million-liter depot facility
• 15 fuel tanker trucks

Top Line also announced it was allocating P925 million to acquire and renovate the stations, accelerating the Visayas expansion of its retail arm Light Fuels. (READ: Cebu fuel firm Topline seeks ‘niche market’ in growing motorcycle industry)

The company owned by the Lim family allocated around P400 million of its initial public offering proceeds to expand its service station network. Its stock market debut in April generated around P733 million in proceeds.

The acquisition will allow Top Line to expand Light Fuels beyond Cebu for the first time to Leyte, Siquijor and Negros Oriental.

Top Line’s president and chief executive officer Eugene Erik Lim said the company explored opportunistic acquisitions as part of its expansion strategy.

“This acquisition supports our broader long-term growth objectives by enabling faster market entry and operational scalability,” he said.

Meanwhile, the 2 million liter depot in San Jose, Negros Oriental will serve as a distribution hub for Light Fuels stations in Negros Oriental and Siquijor. The 15 new tankers will also bolster its existing fleet of 22 trucks.

Top Line’s senior vice president and chief operating officer Brigitte Lim explained that the Negros Oriental depot, as well as additional depot space they secured in Mandaue, positions the company for rapid expansion. The new facilities will allow Top Line to manage inventory prudently and deliver fuel to its new Light Fuels stations efficiently.

The new stations will contribute at least 36.5 million liters in annual liquid fuel sales volume.

In the first quarter of the year, Top Line’s net income surged 38% year-on-year to P37.9 million amid a 36% boost in revenues to nearly P1 billion. – Rappler.com