Caltex reverts to Ampol

Petrol retailer announces rebranding strategy

IT’S a case of back to the future for Caltex Australia’s service stations as the petrol retailer prepares to revert to the Ampol brand.

The company announced yesterday it would be rebranding its outlets over a threeyear period after US oil giant Chevron scrapped a licence agreement for the use of the Caltex name in Australia.

Caltex Australia, which was created out of a merger between Caltex and Ampol in 1995, told the ASX in a statement that the transition to the new name would commence in

June at a cost of about

$165 million.

The move is expected to save Caltex Australia between $18 million and $20 million each year in trademark licence fees, with shareholder approval to change the registered company name to be sought at the annual general meeting in May.

“Ampol is an iconic brand in Australia and reflects our deep Australian heritage and expertise,” Caltex Australia chief executive Julian Segal (right) said, adding that the company’s market research indicated that the name “resonates across our key customer segments”.

“The transition to Ampol also supports our evolution into a growing regional fuels and convenience business and will allow us to invest and build equity in a company-owned brand as we continue the rollout of our retail strategy.

“This includes capturing benefits from cost synergies of rebranding during the rollout.”

Ampol, originally known as the Australian Motorists Petrol Company, was founded in 1936.

It was acquired by Pioneer in 1988 before merging with Caltex Australia.

Caltex Australia said that its licence agreement with Chevron had been scrapped following 18 months of discussions about renewal.

Chevron, which sold its $4.6 billion half-share in Caltex Australia in 2015, last week spent $425 million to acquire Puma Energy’s Australian business.

The Caltex Ampol rebranding follows an announcement this month that Caltex Australia is planning a $500 million capital raising, and the sale of an initial 25 petrol stations for $136 million, as it contends with an unsolicited approach from Canadian suitor Alimentation Couche-Tard.