SANFORD, N.C. -- The Pantry Inc. said it has completed the previously disclosed acquisitions of 33 convenience stores.
The largest of the transactions was the acquisition of 24 Sun Stop c-stores in Florida, Georgia and Alabama from Southwest Georgia Oil Co. Inc. These stores, which generated revenues of approximately $110 million in 2005, mark the company's initial entry into the Tallahassee, Florida and southwest Georgia markets.
The company also recently completed the acquisition of eight c-stores in Gainesville and Ocala, Fla., [image-nocss] from Rousseau Enterprises Inc. Those stores operate under a variety of banners, including LeStore, and generated revenues of approximately $21 million in 2005. In addition, the company has completed the acquisition of a c-store in the Naples, Fla., marketits second store in that market.
Separately, The Pantry recently has entered into definitive agreements to acquire two additional c-stores in the Naples market, as well as a single store in Louisiana. These acquisitions, which are subject to regulatory approvals and other customary closing conditions, are expected to close in the company's third fiscal quarter.
All of these transactions, which are expected to be immediately accretive to The Pantry's earnings per share, have been or will be financed with a combination of cash on hand and lease financing. Terms were not disclosed. These transactions bring the total number of stores the company has acquired or agreed to acquire so far in fiscal 2007 to 136.
The Pantry, Sanford, N.C., had revenues for fiscal 2006 of approximately $6 billion. As of Feb. 15, 2007, the company operated 1,558 stores in 11 states under several banners, including Kangaroo Express, its primary operating banner.
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