MODESTO, Calif. -- Boyett Petroleum, which sells and distributes fuel to gas stations in California and northern Nevada, has purchased the rights to distribute fuel to 24 gas stations in the Bay Area, foothills and Sacramento, reported The Modesto Bee. Boyett will distribute to a dozen 76 stations and a dozen Valero and Beacon stations that formerly contracted with one of Boyett's competitors, Toms Sierra Co. of Roseville, Calif., said the report.
Boyett CEO Carl Boyett would not disclose the purchase price, but told the newspaper that the company has been working on the deal for a year [image-nocss] and a half. "We don't normally acquire other businesses. But, in this case, we wanted the wholesale part," he said.
Boyett Petroleum markets more than 20 million gallons of gasoline a month, according to the report. The new stations will add 3 million gallons of business, it said.
This deal will increase sales for Boyett Petroleum without increasing the company's payroll, Boyett Petroleum president Dale Boyett told the Bee. "We think it's a good long-term deal for us," he said.
With the new distribution accounts, Boyett Petroleum has 110 branded accounts in total, the report said.
"While our growth has traditionally been and will continue to be organic, the Sierra Energy accounts provided us an opportunity to strengthen ourselves geographically with two of our largest suppliers," Carl Boyett said of ConocoPhillips and Valero Energy Corp.In addition to Boyett Petroleum's wholesale business, it operates 37 company-owned retail locations under the names Boyett and Kwik Serv. And it supplies gas stations without contracts, and some farm and trucking businesses.