ATLANTA -- Israeli company EZ Energy Ltd. continues to expand in the United States with a letter of intent having been signed to purchase 14 stores from BP in the Atlanta market.
In a presentation before investors this week, EZ Energy predicted that it will exceed $260 million in revenue from its current stable of U.S. gas stations and convenience stores in 2008, according to a report from Globes Online. The company also predicts that the BP gas stations will generate $160 million in revenue a year, suggesting that total annual revenue will likely [image-nocss] reach $360 million.
EZ Energy owns 25 gas stations and c-stores in the United States to date and has fuel delivery contracts to six gas stations. The company is actively seeking to buy more gas station and c-store in the U.S.
Earlier this year, as previously reported in CSP Daily News, EZ Energy's deal to purchase Harper Oil Co. and its 26 On the Ways stores in Springfield, Ill., fell through for unspecified reasons.
Regardless, Oren Zahavi, vice chairman for EZ Energy, said at the time the company is still very intent on carving a c-store network here in the United States.
We do believe in the long-term viability of the U.S. market, he said. We can give added value specifically by picking above-average locations that would be here even in times of recession.
Noting why the United States presents an attractive investment opportunity, Zahavi pointed to the largely fragmented channel and how Israel did not offer the opportunities for growth that exist here. See related story in this issue of CSP Daily News.
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