In recent news, U.S. refiner Phillips 66 has announced its intention to sell its JET brand gas stations at 1,270 sites in Austria, Germany, and the U.K. This move is part of a broader plan to divest non-core assets and strengthen the company’s core refining business. The sale is expected to generate €3 billion (about $3.2 billion) and is a key component of a multiyear cost-cutting project that Phillips 66 has been working on.
This decision by Phillips 66 follows similar moves by other major players in the industry. TotalEnergies recently completed the sale of its petrol stations in Germany and the Netherlands, while Shell has announced plans to divest approximately 1,000 of its petrol stations to focus on establishing electric vehicle charging stations. The sale of the JET gas stations represents a strategic shift for Phillips 66 as it seeks to optimize its portfolio and focus on its core refining business.
The decision to sell the JET brand gas stations was influenced in part by activist investor Elliott Investment Management, which acquired a $1 billion stake in Phillips 66 late in 2023 and called for a refocus on the refining business and reduction in operating costs. In a December letter to the company, Elliott warned that if sufficient progress was not made towards these goals, they would push for management changes and the sale of other non-core assets such as Phillips 66’s stake in Chevron Phillips Chemicals (CPChem) and its European convenience stores. This pressure from Elliott played a role in Phillips 66’s decision to sell off some of its non-core assets as part of its broader cost-cutting strategy.
