Another 110 Stores for Fas Mart
Growth continues with letter of intent to buy East Coast chain
MECHANICSVILLE, Va. -- GPM Investments will add more than 100 stores to its Fas Mart chain once it closes on the purchase and sale-leaseback of 110 gas stations and convenience stores on the East Coast.
Although unable to share much information on the deal because of a confidentiality agreement, GPM CEO David McComas said the stores will be a welcome addition to the company. We're really excited about it, he told CSP Daily News. We plan on operating the vast majority of them as Fas Marts.
As reported in a CSP Daily News [image-nocss] Flash yesterday, GPM parent company Petro Group Ltd. has signed a letter of intent to buy the 110 gas stations and convenience stores for $60 million, plus inventory when the deal is closed. The seller currently operates its own convenience stores and supplies in excess of 62 million gallons of gasoline annually
McComas said GPM will close the deal, after due diligence, during the fourth quarter. GPM will finance the acquisition from shareholders' equity, bank credit and through a real estate investment trust (REIT) that will buy 70 of the properties in a buy and leaseback deal.
Mechanicsville, Va.-based GPM Investments LLC currently operates 145 stores as Fas Mart or Shore Stop in the states of Virginia, Delaware, Maryland, North Carolina, New Jersey, Pennsylvania and Connecticut. GPM also supplies petroleum products to a network of 133 independent third-party dealers.
In June, GPM added 58 stores with the purchase of the Double Quik chain based in Wise, Va.
Petrol Group is controlled by Arcadi Gaydmak through Ameris Holdings Ltd., Israel.