Ampol (ASX:ALD) share price falters amid $50 million asset sale

A difficult week for Ampol shares has erased all the gains accrued throughout the last 12 months.

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The Ampol Ltd (ASX: ALD) share price is in reverse today, just slightly, following the company’s latest property transaction.

At the time of writing, the fuel retailer’s shares are swapping hands for $28.54, down 0.45%. In comparison, the S&P/ASX 200 Index (ASX: XJO) is trading at 7,236 points, 0.27% lower for the day. Meanwhile, the All Ordinaries Index (ASX: XAO) is sporting a 0.32% slump.

Ampol divests freehold convenience retail sites

The Ampol share price is shedding in value following the company’s decision to offload some of its assets.

In a statement to the ASX, Ampol announced the sale of 20 petrol stations to an unlisted property trust for $50.5 million. The transfer will see Ampol own a 51% interest, while Charter Hall will take up the remaining 49% stake.

Once the transaction is complete, Ampol plans to begin leasing the sites under long-term triple-net lease arrangements.

The deal is set to deliver Ampol about $48 million in net proceeds, based on a portfolio weighted-average capitalisation of 5%.

It intends to use the funds acquired from the sales and recently announced notes issue to help fund the purchase of New Zealand biofuel company Z Energy Ltd (ASX: ZEL). Ampol will allocate any monies left over to general corporate purposes.

The property transaction is expected to be finalised sometime in the first quarter of 2022, pending satisfied conditions.

Ampol share price summary

A difficult week for Ampol shares has erased all the gains accrued throughout the last 12 months. Currently, its shares are down 7% since this time last year, with year to date relatively flat.

Ampol presides a market capitalisation of roughly $6.8 billion, and has approximately 238.30 million shares outstanding.

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