Valero Energy Corp. is preparing to sell the remaining 20 percent stake it holds in CST Brands Inc., the seller of fuel and convenience-store goods that it spun off in the spring.
San Antonio-based CST Brands said it will offer 13,112,564 shares of common stock — Valero’s stake — “as soon as practicable,” according to a document it filed with the Securities and Exchange Commission.
Officials at the San Antonio-based refining company had said in May, when the CST spinoff was completed, that it would sell its remaining shares.
“We said we’d dispose of them (the shares) within 18 months,” Valero spokesman Bill Day said. “So now CST is registering to do that.”
CST senior vice president Hal Adams said that Valero “will actually sell the shares, because they own them.
“But it’s our responsibility to tell the SEC that it’s going to happen.”
The proceeds of the stock sale will go to Valero, Adams said.
“It’s really the completion of the spin,” he said.
When the shares are offered, “our executive team will go out on the road and talk to investors and give our story again to people that Valero will hope to sell the shares to,” Adams said.
As the spinoff occurred, Valero said it would hold its 20 percent stake for six to 18 months. CST’s spinoff was effective May 1, putting the end of six-month period in early November.
As of September 30, CST had almost 76 million shares of common stock outstanding and about 6,000 shareholders of record.
CST stock closed at $30.56, up 10 cents a share, in New York Stock Exchange trading Thursday, while Valero rose $1.14 a share to close at $38.39.