Caltex Australia (ASX:CTX)
has received a termination notice from Chevron Corporation regarding its current licence agreement for use of the Caltex brand in Australia.
This follows 18 months of discussions with the American company regarding the future of the licence agreement.
They will continue with plans to transition to the company-owned Ampol brand.
The transition will be undertaken in a capital disciplined way as part of the roll out of Caltex’s broader branded network strategy, with an indicative capital cost of approximately $165m over a three-year period.
Shares in Caltex Australia (ASX:CTX)
are trading 0.4 per cent lower at $34.05