CrossAmerica Partners announced Monday that it had entered an agreement to acquire some of the assets of Alabama based Jet Pep for a total of $72m.
Consisting of 92 fee-generative sites as well as, five lease sites and five independent commission accounts, the 102 operated retail sites sold nearly 91m gallons of unbranded fuel in 2016.
Based down in Allentown, CrossAmerica Partners is a leading wholesale distributor of motor fuels and owner and lessor of real estate used in the retail distribution of motor fuels and is a wholly owned subsidiary of Alimentation Couche-Tard Inc.
Alimentation Couche-Tard subsidiary Circle K Stores also agreed to purchase other Jet Pep assets, including a fuel terminal, trucking equipment and 18 additional retail sites for an undisclosed amount.
"We are excited to acquire the assets of one of the largest fuel supply networks in Alabama," said CrossAmerica president and chief executive officer, Jeremy Bergeron. "This acquisition expands our presence in the South, and demonstrates our ability to execute on strategic M&A opportunities with our new general partner sponsor."
Transaction close was expected in the fourth quarter of 2017 with the purchase seen as accretive to distributable cash-flow to limited partners, the company said in a statement.
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