Mergers & Acquisitions

FTC Approves Final Order on 7-Eleven’s Divestitures for Speedway Acquisition

Commission modifies settlement to remove 1 location that is no longer a competitive concern
7-eleven speedway

WASHINGTON — Following a public comment period, the Federal Trade Commission (FTC) has approved a final order settling charges that 7-Eleven’s acquisition of Marathon Petroleum’s approximately 3,900-unit Speedway subsidiary, which closed in May, violated federal antitrust laws.

The companies announced the $21 billion deal in August 2020. In April 2021, 7-Eleven and Findlay, Ohio-based Marathon Petroleum agreed to divest 293 convenience stores in local markets across 20 states to settle FTC concerns that 7-Eleven’s acquisition of Speedway violated federal antitrust laws. The deal closed legally on May 14 despite new FTC objections.

According to the FTC’s original complaint, the acquisition harmed competition for the retail sale of fuel in 293 local markets across Arizona, California, Florida, Illinois, Indiana, Kentucky, Massachusetts, Michigan, North Carolina, New Hampshire, Nevada, New York, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Utah, Virginia and West Virginia.

The FTC has modified the complaint to 292 markets to remove a single divestiture location that no longer presents a competitive concern as one of the unidentified party assets is exiting the market independent of the acquisition.

The modified final order requires, among other conditions, that 7-Eleven Inc. and Marathon divest 124 retail fuel outlets to Anabi Oil, Upland, Calif.; 106 outlets to CrossAmerica Partners, Allentown, Pa.; and 62 outlets to Jacksons Food Stores, Meridian, Idaho.

The order also prohibits 7-Eleven from enforcing any noncompete provisions as to any franchisees or employees working at or doing business with the divested assets.

The commission vote to approve the final order was 3-0-1, with Chair Lina M. Khan not participating.

Based in Irving, Texas, 7-Eleven operates, franchises or licenses more than 77,000 stores in 18 countries and regions, including approximately 9,500 in the United States under the 7-Eleven banner and approximately 3,800 under the Speedway banner.

Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Foodservice

Opportunities Abound With Limited-Time Offers

For success, complement existing menu offerings, consider product availability and trends, and more, experts say

Snacks & Candy

How Convenience Stores Can Improve Meat Snack, Jerky Sales

Innovation, creative retailers help spark growth in the snack segment

Technology/Services

C-Stores Headed in the Right Direction With Rewards Programs

Convenience operators are working to catch up to the success of loyalty programs in other industries

Trending

More from our partners