CrossAmerica Partners LP of Allentown has announced it plans to acquire the assets of Alabama-based Jet Pep Inc. for $72 million.
CrossAmerica, which is a wholesale distributor of motor fuels and owner and lessor of real estate used in the retail distribution of motor fuels, is making the deal with Circle K Stores Inc., a subsidiary of Alimentation Couche-Tard and the general partner of CrossAmerica.
The assets consist of 102 commission operated retail sites, including 92 fee sites, five lease sites and five independent commission accounts. The locations sold nearly 91 million gallons of unbranded fuel in 2016.
Circle K, as part of the deal, has agreed to buy certain other assets from Jet Pep Inc., including a fuel terminal, associated trucking equipment and 18 other 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 CEO Jeremy Bergeron in a statement. “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.”
CrossAmerica sells unbranded fuel to about 1,200 locations across the country and owns or leases about 900 sites. Its geographic footprint covers 29 states.
The acquisition is subject to customary conditions to closing and is expected to close next quarter.