Petroleum Wholesaler Scales Back Business Reach
Former retailer maintains focus on markets in 15 states
BELLE VERNON, Pa. -- Petroleum wholesaler Guttman Energy Inc., Belle Vernon, Pa., has exited the propane and lubricants businesses with the sale of that division to a Chicago-based company.
Guttman Oil-Columbus Division sells propane and lubricants to a variety of residential, commercial and industrial customers located throughout central Ohio. The division was purchased by Chicago-based Energy Distribution Partners, a privately-held company led by propane industry veteran operator, Thomas E. Knauff.
Founded in 1931, Guttman is a leading provider of energy procurement solutions and logistics-management services for petroleum, natural gas and electricity, serving the commercial, industrial and retail markets, with customers located in 15 states. It is a distributor of both branded—CITGO and Exxon—and unbranded petroleum.
Guttman chose to divest its propane and lubricants-centric division to focus capital on the continued growth of its core business: the procurement and logistics management of refined fuels, natural gas and electricity.
“We would like to express our thanks to our valued Columbus Division employees for the 32 years of business that Guttman Oil Co. enjoyed in the Columbus market,” said CEO Alan Guttman. “You represented our company with true professionalism and a passionate concern for the customer.”
The company previously operated a chain of convenience stores for about 20 years, as well. It began the Crossroads Food Marts chain in the 1980 and operated it until ii became GetGo in 2002 in a joint venture with Giant Eagle Inc. Guttman later sold its share to Giant Eagle.
EDP, founded in 2011 when Knauff and Marlo Young, executive vice president retail propane, teamed up to acquire, develop and manage companies and assets in the petroleum midstream and downstream sectors.
In the sale of its propane and lubricants division, Richmond, Va.-based Matrix Capital Markets Group Inc. served as financial advisor to Guttman Energy.
Matrix provided merger-and-acquisition advisory services to Guttman, which included valuation advisory, transaction structuring and negotiating.
“We are honored to have advised Guttman on this strategic divestment, and we enjoyed working with the company’s management team to consummate the transaction,” said Matrix managing director Spencer Cavalier. “The acquisition by EDP is a logical fit as it continues to build its presence in the Ohio Valley.”
Matrix Capital Markets Group, Inc. is an independent, advisory focused, privately held investment bank based in Richmond, Va.