Sierra Enterprises Oregon Inc., an affiliate of S&S Petroleum Inc., Mukilteo, Washington, has acquired Leathers Enterprises Inc., a Shell-branded petroleum marketer and convenience retailer based in Portland, Oregon. The transaction includes Leathers Enterprises’ 24 convenience stores in Oregon with nine company-operated and 15 managed through dealer consignment agreements.
It also includes the Shell-branded distribution assets, and Enterprises owns and operates six transports and trailers it uses for fuel distribution to its locations.
The company also distributes fuel through its CFN contract, operates a U-Haul franchise and offers proprietary and locally licensed branded foodservice operations at its locations.
“We are thrilled to welcome the Leathers team into the S&S Petroleum family. This acquisition strengthens our commitment to building our presence in the Pacific Northwest while providing exceptional service and value to our customers and partners,” said Rania Dahabreh, president of S&S Petroleum.
- S&S Petroleum is No. 74 on CSP’s 2023 Top 202 ranking of convenience store chains by store count.
Initially founded as a single dealer operation in Sandy, Oregon, Lila Leathers entered the business in 1959 with her then-husband. Lila individually completed an outright purchase of the company in 1991 during a period when federal, state and local officials were initiating a round of underground storage tank (UST) regulations and environmental cleanups. During her ownership, Lila was responsible for the company’s expansion and modernization until transferring ownership to her children, Kathy and Brent. Lila Leathers died on Nov. 1, 2022.
Leathers Enterprises prides itself on excellence in operations, it said, including its transportation business, proprietary software systems through Snowbird and proficient repair and maintenance team, which works closely with its store operations to remain in good standing with Oregon regulatory agencies.
“With today’s transaction, we honor the career of our mother, Lila Leathers-Fitz, and all of her investments of time, grace and mentorship into this company,” Kathy and Brent Leathers said in a statement concerning the deal. “We believe S&S values the generational legacy of our company and will continue Leathers’ longstanding tradition of excellent operations and service to our customers.”
Corner Capital Partners, Austin, Texas, provided its valuation, strategic advisory and mergers-and-acquisitions (M&A) services to the Leathers family. Barton Taylor, Ben Achilles and P. A. (Andy) Weber III managed the transaction. Formed in 2006, Corner Capital provides national transaction advisory services to the downstream energy, multi-unit retail, business services and distribution industries.
“Brent and Kathy successfully navigated a complex and emotional transition of their legacy business, and they have been genuinely invested in supporting S&S’ future success of the Company. We are grateful to have earned the Leathers’ trust to assist in this project and are excited to see their team and people prosper under S&S,” said Weber.
John Houlihan of Houlihan Law, Seattle, provided legal counsel to the Leathers. Fred Whitaker of Cummins and White, Newport Beach, California, provided legal counsel to S&S Petroleum.
“We are also pleased to commend the Corner Capital team for their stewardship during this process. Their intimate expertise in operations, competitive sale structuring, and transaction management provided excellent counsel to our family and employees throughout the process,” Kathy and Brent Leathers.
S&S Petroleum offers fuel and convenience-store services in the Pacific Northwest, as well as California and Idaho. Established in 1998, it has expanded to now include more than 100 locations. S&S Petroleum’s extensive portfolio features partnerships with Marathon, Mobil, 7-Eleven and SEI Fuels, Valero, Arco, ampm and Shell.
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