'Several bidders' in line to buy Big West
| Wednesday, Sep 02 2009 05:52 PM
Last Updated Wednesday, Sep 02 2009 05:57 PM
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Big West of California refinery on Rosedale Highway.
The owner of Big West refinery is working with "several bidders" interested in buying the Rosedale Highway plant, according to a newly published report verified Wednesday by the company's CEO.
A so-called "stalking horse," or lead bidder, will be identified within two to four weeks, according to the news story by Platts, a global energy information service. The report is based on an interview with Crystal Call Maggelet, CEO of Utah-based Flying J Inc. Maggelet confirmed the report's accuracy through a spokeswoman.
Whoever wins the stalking horse designation has the right to negotiate a fall-back bid in case no better offer comes forward at a final auction.
The bidders comprise a "mixed bag" of strategic industry prospects and private equity firms, the report quotes Maggelet as saying.
The company had previously said very little about the process for selling a refinery whose December bankruptcy filing and January closure led to layoffs for more than 175 local workers. The closure also caused considerable disruption for many independent local oil producers who used to sell to Big West.
Initially, 130 groups or individuals expressed interest when the refinery was initially put up for sale early this year, people inside the plant have said.
Flying J is expected to merge with Knoxville, Tenn. competitor Pilot Travel Centers. Their deal excludes Flying J's refining operations.
