Lukoil, Russia's largest private oil company, has decided to sell 100% of shares in its Estonian subsidiary Lukoil Eesti AS.

Lukoil, through Lukoil European Holdings BV, and Olerex, through holding company Aqua Marina AS, have entered into a purchase-sale agreement under which the Estonian fuel company is acquiring 100% of Lukoil Eesti AS, Olerex said in a press release.

"The sale of Lukoil assets in Estonia is part of our program for optimization of fuel markets in Europe," Lukoil vice president Vadim Vorobyev was quoted as saying in the press release.

Lukoil has 37 filling stations in Estonia. Following the closure of the deal, the price of which has not been disclosed, Olerex will have the largest chain of filling stations in Estonia, with more than 80 outlets.

"The acquisition of Lukoil shares is a strategic step that will take Olerex to the top of the Estonian fuel market," Olerex board director Antti Moppel said.

The deal is subject to approval by Estonia's competition authority.

In 2014, Lukoil sold its filling stations in the Czech Republic, Slovakia and Hungary.