“Strategically, this acquisition would be a great addition to our expansion and growth plans for the Midwest division,” says Couche-Tard spokesperson.
Alimentation Couche-Tard Inc. has signed, through its wholly-owned indirect subsidiary, Mac’s Convenience Stores LLC, an agreement to acquire 29 stores—25 stores are located in Illinois, three in Missouri and one in Oklahoma.
The transaction is anticipated to close in December 2012.
All stores offer motor fuel branded Phillips 66. They would eventually be rebranded under the Circle K brand and continue to offer motor fuel under Phillips 66. Couche-Tard’s Midwest division would operate 28 of them and the other one would be operated by the Southwest division. Two sites are equipped with car washes. Pursuant to this transaction, Couche-Tard would buy the land and buildings for 25 locations and would assume or enter into leases for the remaining locations.
In addition, pursuant to a related agreement, Couche-Tard would purchase the rights for the supply of 29 Wholesale stores located throughout the same geographic area.
“Subsequent to this transaction, our network in the Midwest division would include a total of 527 company operated-stores and 212 locations under wholesale or franchise agreements. These stores occupy strategic locations within their respective trade areas. Strategically, this acquisition would be a great addition to our expansion and growth plans for the Midwest division,” commented Bruce Landini, vice-president operations, Midwest.
The transaction is subject to standard regulatory approvals and closing conditions. According to a confidentiality agreement between the parties, the purchase price cannot be disclosed. Available cash dollars will be used for the transaction.