Morgan Stanley (NYSE: MS) today announced a definitive agreement to sell the Global Oil Merchanting unit of its Commodities division to Castleton Commodities International LLC (CCI). Financial terms of the transaction were not disclosed.
The sale includes a diversified international network of oil terminal storage agreements; inventory; physical oil purchase, sale and supply agreements; and freight shipping contracts. The transaction does not include Morgan Stanley’s client-facilitation oil trading business or any of its commodities operations outside of the oil sector.
The transaction is not expected to have a material impact on Morgan Stanley’s financial results. Among other conditions, it is subject to regulatory approvals in the U.S., the E.U. and certain other jurisdictions. It is targeted to close in the second half of 2015.
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