Top Line Business Development Corp. is looking to expand its presence in Mindanao by acquiring an existing network of fuel stations.
An industry source said Top Line is in talks with major fuel retailers and independent oil players in Mindanao. The planned acquisition could potentially double Top Line’s existing network.
“If they buy everything, it could double their network. But they could also select the stations with higher volume,” the source said.
Depending on the size of the deal, the source added that Top Line may tap the equities market to raise funds for the acquisition. However, the company must still address logistics, as its primary depot is in the Visayas.
There are currently five independent oil players in Mindanao, including Phoenix Petroleum Philippines Inc., owned by Dennis Uy.
Last year, Top Line acquired 38 retail fuel stations, a 2 million-liter depot and 15 fuel tanker trucks from Total Oil & Gas Resources Inc. and Ballston Metro Corp. for about P925 million. That acquisition, which included stations in Cebu and new locations in Leyte, Siquijor and Negros Oriental, marked Top Line’s first expansion outside Cebu province. It also acquired one Phoenix Petroleum station in Cebu.
Top Line listed on the local bourse last April, raising P732.62 million in fresh capital. Its fuel brand, Light Fuels, currently has more than 50 stations in various stages of development.
Through its subsidiary, Topline Logistics and Development Corp., the company also engages in the importation, trading, distribution and marketing of petroleum-based products.
