OverviewCheMatch.com Acquires The Energy Group
HOUSTON (December 8, 2000) – CheMatch.com - The Global Trading Network™, a leading Internet-based marketplace and information resource for buying and selling bulk commodity chemicals, plastics and fuel products, announced today that it has acquired The Energy Group (TEG). TEG is a leading petrochemical feedstock and gasoline components brokerage firm based in Houston, Texas.
This acquisition will bring to CheMatch.com valuable knowledge, experience and contacts in a number of product categories. Year-to-date TEG has transacted more than 1.5 million metric tons of products, and the addition of these transactions will enhance CheMatch.com's position as the liquidity leader in the Internet-based buying and selling of bulk commodity chemicals. TEG's primary markets include servicing the major oil refiners and petrochemical producers and the associated trading community. Products regularly traded include components for refined motor fuels (reformulated and conventional gasolines), naphtha (petrochemical feedstock and gasoline blending), high-octane blendstocks (alkylate, reformate and MTBE), natural gas liquids, aromatics and OTC financial derivatives.
Michael Appling Jr., CheMatch.com's Chief Financial Officer stated, "We would like to welcome Steve Leahy and Bob Josephs, the founders of TEG, to the CheMatch.com team. Steve and Bob have a keen understanding of the Internet and recognize the power of e-commerce. They created and were conducting e-commerce through their affiliated company's web site www.NRGLine.com. Their years of industry experience, knowledge and relationships will allow CheMatch.com to broaden its customer base."
"The Energy Group is an excellent fit with CheMatch.com and is a win-win for our customers. TEG will substantially increase the liquidity on the CheMatch platform, particularly in the feedstock products that we launched earlier this year," said Larry McAfee, CheMatch.com's President. "Their traction in naphtha and key gasoline components is a good addition, as it is a link from our aromatics products back to the oil market. With TEG's experience in the financial derivatives market this acquisition should accelerate our OTC derivatives activity and provide our customers with better risk management tools."
Steve Leahy, TEG Managing Partner remarked, "We are excited to have this opportunity with CheMatch.com the original Internet marketplace for chemicals and fuel products. As the energy trading and brokerage business moves on-line, our belief is that CheMatch.com is best positioned to take advantage of the extraordinary opportunities that new digital technologies provide. After carefully considering several possibilities, with an eye on better serving our clients, we chose CheMatch.com because we believe that they embrace the best overall value proposition to their on-line customers and have the highest probability of success in both the short and long run."
About CheMatch.com
CheMatch.com® - The Global Trading Network™ is a business-to-business, Internet-based market place for purchasers and sellers of bulk commodity chemicals, plastics and fuel products. The marketplace incorporates a real-time, interactive trading exchange where members can trade 24 hours a day, seven days a week. Strategic and financial investors include Battery Ventures, Bayer AG (NYSE: BAYZY), (FSE: BAYG.F), E.I. DuPont de Nemours and Company (NYSE:DD), GE (NYSE:GE), Methanex (Nasdaq:MEOH;TSE:MX), Millennium Chemicals (NYSE:MCH), H. Muehlstein & Co., Inc., Reed Elsevier, Sprout Group, Stolt-Nielsen S.A. (Nasdaq:STLTF), (Nasdaq:STLBY), (Oslo Stock Exchange:SNIB) and YourEnergySource.com. Headquartered in Houston, CheMatch.com has international offices in Germany, Hong Kong, Korea and Singapore.
For more information, please contact:
Bob Osmond
UpStart Communications
(510) 457-3111
bosmond@upstart.com
Liz Youngs
UpStart Communications
(843) 881-5751
lyoungs@upstart.com
Note to Editors: ChemConnect is a registered trademark of ChemConnect, Inc. All other product, trademark, company or service names mentioned herein are the property of their respective owners.