The Mr. Zip convenience store chain, operator of 16 stores along the I-75 corridor between Knoxville and Chattanooga, Tenn., was acquired today by Textron Energy, a subsidiary of Classic Star Group of Ft. Worth, Texas.
Terms of the deal, which includes the 16 stores and a wholesale fuels business, were not disclosed.
Classic Star Group is an established family operated multi-branded fuel wholesaler with operations in five Southwestern states. With this acquisition, the company now serves more than 400 retail customers.
“We are happy that we have added the Mr. Zips operation into our business and are excited about the prospects of enhancing overall store performance and extending our proven fuels distribution formula to support our retail customers’ success.” said Mike Ali, president of Classic Star Group.
The East Tennessee subsidiary will be based in Cleveland, Tenn. in the existing offices of Mr. Zips. Current staff and management will be retained to grow the brand throughout the region
“With the Mr. Zips acquisition, Classic Star strategically expands its distribution footprint into the Tennessee and mid-south region,” said Mark Radosevich, president of PetroActive Services, who provided financing consultation and coordination for the transaction. “The quality, location and tight concentration of the stores combined with the overall gallons acquired provide the company with an excellent platform to expand their services into six or seven nearby states.”