Core Viewpoint - Blue Water Acquisition Corp. III has submitted a $10 billion bid to acquire PDV Holding Inc., the parent company of Citgo Petroleum Corp., in a court-supervised auction process in Delaware [1][2]. Group 1: Acquisition Proposal - The proposal includes cash or stock distributions to PDV Holding Inc.'s general creditors and a $3.2 billion settlement for holders of the PDVSA 2020 bonds, which can be paid in cash or shares of the new publicly listed entity that will own Citgo [2]. - The acquisition aims to return Citgo to U.S. ownership as a fully public company, ensuring accountability to U.S. regulators and investors [3]. Group 2: Management Commentary - Joseph Hernandez, Chairman & CEO of Blue Water, stated that the $10 billion proposal is designed to provide creditors with immediate recovery and the opportunity to participate in Citgo's future as a U.S. public company [4]. - The structure of the proposal aims to deliver value for creditors, stability for employees, and maintain Citgo's assets under U.S. ownership and public market transparency [4]. Group 3: Citgo Assets - The auction includes significant assets such as three major U.S. refineries located in Lake Charles, Louisiana; Lemont, Illinois; and Corpus Christi, Texas, with a combined refining capacity exceeding 800,000 barrels per day [6]. - Additional assets include midstream infrastructure like pipelines and terminals, lubricant and blending plants, and a nationwide retail distribution network of over 4,000 branded service stations [6].
Blue Water Acquisition Corp. III Announces Submission of $10 Billion Bid for PDV Holding Inc., Parent of Citgo Petroleum Corp.