Shell Transitions in Sacramento
Nakash Enterprises to acquire 20 Shell-branded gas stations
SACRAMENTO, Calif. -- Nakash Enterprises LLC, an affiliate of Vintners Distributors Inc., has acquired Shell Oil Products US's interest in 20 Shell-branded gas stations in the Sacramento, Calif. area. All 20 locations will continue to sell fuel under the Shell brand. According to a confidentiality agreement between the parties, the purchase price was not disclosed.
Shell spokesperson Alex Clark told CSP Daily News that it made the deal with Nakash Enterprises not only because of its "competitive bid," but also because it believes that "Nakash Enterprises will help strengthen the Shell brand [image-nocss] in Northern California. The company has a strong history of growing the Shell brand in California, and we're confident in the company's knowledge of the retail fuel market in northern California.""The company's lengthy experience as a Shell operator...will help to strengthen the Shell network in Sacramento,"added Bill Spurgeon, west region general manager of Shell Oil Products US.
As reported in a CSP Daily News Flash yesterday, this divestment is in line with Shell's publicly stated intent to transition retail assets to joint venture and wholesale operations, in order to move toward its vision of becoming the best fuels retailer in the world, the oil company said. "The strategy is progressing as planned," Clark said. ( Click here to view CSP Daily News coverage of Shell's divestment strategy).
Fremont, Calif.-based Vintners Distributors is a real-estate development and management firm. It specializes in the development and operation of gas stations, as well as convenience stores, car washes, lube centers and quick-service restaurants (QSRs). The company is primarily focused on the development of branded sites within the state of California. Since its founding in 1978, Vintners Distributors' portfolio of retail gas stations has grown to include 40 sites within California. The company currently operates 22 Shell-branded retail locations throughout the state.
"We're proud to add these Shell retail locations to our Northern California portfolio," said Nick Goyal, managing member with Nakash Enterprises. "Shell is among the most recognized premium retail brands among consumers."
Clark said, "We will continue to actively pursue opportunities that will increase the growth of the Shell brand in the U.S. over the next several years."
Houston-based Shell Oil Products US, a subsidiary of Shell Oil Co., is a leader in the refining, transportation and marketing of fuels, and has a network of approximately 6,100 branded gas stations in the western United States.