WALTHAM, Mass. -- Global Partners LP has announced that it has completed the acquisition of a portfolio of 97 primarily Mobil- and Exxon-branded owned or leased gas stations and seven dealer supply contracts from Capitol Petroleum Group (CPG).
The purchase price, subject to closing adjustments, was approximately $156 million.
The acquisition includes 51 retail locations and seven dealer supply accounts in New York City and 46 retail locations in the Prince George’s County, Md./Washington, D.C., market.
In 2014, these assets sold approximately 125 million gallons of fuel. In New York, 45 of the locations are dealer-leased locations and six are commission agents, while in Maryland there are 41 dealer-leased locations and five commission agents.
“The Capitol portfolio increases our penetration in two important East Coast markets,” said Eric Slifka, the partnership’s president and CEO. “Completing this transaction strengthens our growing gasoline distribution and station operations business and further integrates our midstream and downstream assets.”
Founded in 1987 by Eyob “Joe” Mamo, CPG is a leading wholesale distributor of petroleum services. CPG began with the purchase of a single Amoco-branded gas station franchise in Washington, D.C., and more than 25 years later, the company has expanded its retail network and owns, operates or supplies retail sites in Maryland, Virginia, metropolitan Washington, D.C., and the New York City region. CPG is an authorized distributor for Shell, ExxonMobil, Valero, Crown and CITGO petroleum brands.
“With the conclusion of this transaction, we intend to build upon CPG’s foundation of approximately 200 remaining locations in Washington, D.C., Northern Virginia and New York with acquisitions throughout North America,” said Joe Mamo, CPG’s president and CEO. “We are well positioned for continued strategic growth.”
The Raymond James Convenience Store & Fuel Products Distribution Investment Banking team served as advisor to Springfield, Va.-based CPG.
A publicly traded master limited partnership (MLP), Waltham, Mass.-based Global is a midstream logistics and marketing company that owns, controls or has access to one of the largest terminal networks of petroleum products and renewable fuels in the Northeast. Global Partners also is one of the largest distributors of gasoline, distillates, residual oil and renewable fuels to wholesalers, retailers and commercial customers in New England and New York. It is a leader in the transportation of crude oil and other products by rail across its “virtual pipeline” from the mid-continental U.S. and Canada to the East and West Coasts for distribution to refiners and others.
With approximately 1,600 locations, primarily in the Northeast, Global Partners also is one of the largest independent owners, suppliers and operators of gas stations and convenience stores.
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