ALLENTOWN, Pa. -- Expanding its fuel business and strengthening its ties with fuel suppliers, CrossAmerica Partners LP has entered into a definitive agreement to acquire certain assets of State Oil Co., Libertyville, Ill., north of Chicago, for $45 million.
“We are excited to acquire the assets of one of the largest fuel distributors in Illinois,” said Jeremy Bergeron, president of CrossAmerica. “This acquisition not only provides us with valuable properties in the greater Chicago market, but it also further expands our fuels business with new dealers and strengthens our relationship with several major fuel suppliers.”
As reported in a McLane/CSP Daily News Flash, the assets consist of 59 fee sites, including 55 lessee dealer accounts, 25 independent dealer accounts, three company-operated locations, two nonfuel sites and certain other assets.
The locations sell more than 60 million gallons of fuel annually through supply contracts with Marathon, CITGO, Phillips 66, Mobil, BP, Shell and others.
The acquisition is subject to customary conditions to closing, and the companies expect the transaction to close in the third quarter of 2016.
State Oil has been in the petroleum industry since 1947. Bill and Pete Anest purchased the small motor-fuel distributorship in Lake County in Illinois in 1973. State Oil owns more than 50 gas stations and supplies more than 90 stations. State Oil operates many of the stations itself, leasing out the remainder to independent operators.
Allentown, Pa.-based CrossAmerica Partners is a leading wholesale distributor of motor fuels and owner and lessee of real estate used in the retail distribution of motor fuels. Its general partner, CrossAmerica GP LLC, is a wholly owned subsidiary of CST Brands Inc., San Antonio, one of the largest independent retailers of motor fuels and convenience merchandise in North America. Formed in 2012, CrossAmerica Partners LP is a distributor of branded and unbranded petroleum for motor vehicles in the United States and distributes fuel to more than 1,250 locations and owns or leases more than 800 sites. Its geographic footprint covers 29 states.
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