Fuel Rivals Plan Nationwide Kiwi Merger
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Fuel companies NPD and Gull have announced plans to merge their national operations, a move that would create the country’s largest independent, majority Kiwi-owned fuel company.
The proposed merger remains subject to Commerce Commission approval. If approved, it would see NPD and Gull combine their sites, teams and supply chains into a single business, while continuing to operate under their existing brand names. Gull sites are most common in the North Island, while NPD has a strong presence in the South Island.
In a statement released on Christmas Day, the companies said their combined network would include about 240 fuel sites across New Zealand. Each location would retain its distinctive branding, allowing both companies to maintain their established customer bases.
Ownership of the new business would be split evenly. The South Island-based Sheridan family would hold 50 percent and remain the largest single shareholder. Barry Sheridan, the current owner and chief executive of NPD, would become the head of the merged company. The remaining 50 percent would be owned by Australasian private equity firm Allegro Funds, which currently owns Gull.
The companies said the merger should help drive down fuel prices by increasing scale and efficiency. Barry Sheridan said both businesses shared a long-standing commitment to offering customers better value at the pump.
"NPD started doing so more than 55 years ago and Gull started shaking up the market 25 years ago. Together, we'll do even more, so motorists pay less."
The combined business would employ about 130 staff and have fuel purchasing power of around one billion litres a year. The companies said this scale would improve buying power and distribution efficiency, helping to deliver competitive pricing nationwide.
Gull chief executive Dan Gilbert said the merger would allow the companies to expand their reach more quickly.
"Joining forces means we'll be everywhere, accelerating what we can do for more customers in more places."
The companies also highlighted the benefits of shared infrastructure. Gull’s Mt Maunganui fuel terminal and NPD’s fleet of fuel trucks would allow directly sourced fuel to be delivered to more sites across the country, improving supply reliability and reducing duplication.
They said duplicating systems and sharing services would further support market-leading pricing for motorists.
The parties have already engaged with the Commerce Commission, and an application for clearance is expected to be registered in January. Until regulatory approval is granted, the two companies will continue to operate independently.