Alimentation Couche-Tard Inc. acquires 55 Stores in the state of Illinois and state of Indiana
LAVAL, QC, July 29, 2014 /PRNewswire/ – Alimentation Couche-Tard Inc.
(hereinafter referred to as “Couche-Tard“) (TSX: ATD.A ATD.B) announces today that it has signed, through its
wholly-owned indirect subsidiary, Mac’s Convenience Stores LLC, an
agreement to acquire 55 stores and related assets from Tri Star
Marketing, Inc. and affiliates (hereinafter collectively referred to as
the “Parties“) of which 51 stores located in the state of Illinois and four stores
located in the state of Indiana. These stores are currently operating
under the brand Super Pantry and offer Phillips 66 and Mobil branded motor fuel. In addition, the Parties have signed a
confidentiality agreement whereby precluding the Parties from
disclosing the purchase price for this acquisition at this time.
As a result of the transaction, Couche-Tard plans on keeping the
existing fuel brands and would buy the land and buildings for 54
locations and would assume or enter into a lease for the single
remaining location. Couche-Tard will also acquire three Bulk Plant
facilities located in the state of Illinois and state of Indiana.
Following the acquisition, all of the stores will be operated under the Circle K brand by Couche-Tard’s Midwest Division.
The transaction is anticipated to close before the end of Couche-Tard’s
second quarter which is scheduled for October 12, 2014, and is subject
to the standard regulatory approvals and closing conditions. Available
cash dollars will pay for the transaction.
According to Jon Stewart, President and CEO of Tri Star Marketing, Inc.
a third generation family business based in Champaign, Illinois whose
family has led the Super Pantry business for the last 67 years, commented “I am personally excited
about this transaction, the addition of Super Pantry to Couche-Tard’s network of convenience stores will complement its
leadership position under the Circle K brand. It is a true win for both consumers and shareholders of both
“Subsequent to this transaction, Couche-Tard’s network in the Circle K
Midwest Division would include a total of 600 company operated-stores
and 193 locations under wholesale or franchise agreement. These stores
occupy strategic locations within their respective trade areas. This
acquisition would be a great addition to Couche-Tard’s expansion and
growth plans for the Midwest Division.” commented Bruce Landini,
Vice-President Operations, Midwest Division.
Couche-Tard is the leader in the Canadian convenience store industry. In
the United States, it is the largest independent convenience store
operator in terms of number of company-operated stores. In Europe,
Couche-Tard is a leader in convenience store and road transportation
fuel in Scandinavian countries and in the Baltic States while it has a
growing presence in Poland.
As of April 27, 2014, Couche-Tard’s network comprised 6,241 convenience
stores throughout North America, including 4,756 stores with road
transportation fuel dispensing. Its North-American network consists of
13 business units, including nine in the United States covering 39
states and the District of Columbia and four in Canada covering all ten
provinces. More than 60,000 people are employed throughout its network
and at the service offices in North America.
In Europe, Couche-Tard operates a broad retail network across
Scandinavia (Norway, Sweden, Denmark), Poland, the Baltics (Estonia,
Latvia, Lithuania) and Russia, which comprised 2,258 stores as at April
27, 2014, the majority of which offer road transportation fuel and
convenience products while the others are unmanned automated
service-stations which offer road transportation fuel only. The
Corporation also offers other products, including stationary energy,
marine fuel, aviation fuel, lubricants and chemicals. Couche-Tard
operates key fuel terminals and fuel depots in eight countries.
Including employees at Statoil branded franchise stations, about
17,500 people work in its retail network, terminals and service offices
In addition, under licensing agreements, about 4,600 stores are operated
under the Circle K banner in 12 other countries worldwide (China, Guam,
Honduras, Hong Kong, Indonesia, Japan, Macau, Malaysia, Mexico,
Philippines, Vietnam and United Arab Emirates) which brings to more
than 13,100 the number of sites in Couche-Tard’s network.
The statements set forth in this press release, which describes
Couche-Tard’s objectives, projections, estimates, expectations or
forecasts, may constitute forward-looking statements within the meaning
of securities legislation. Positive or negative verbs such as
“believe”, “could”, “should”, “intend”, “expect”, “estimate”, “assume”
and other related expressions are used to identify such statements.
Couche-Tard would like to point out that, by their very nature,
forward-looking statements involve risks and uncertainties such that
its results, or the measures it adopts, could differ materially from
those indicated or underlying these statements, or could have an impact
on the degree of realization of a particular projection. Major factors
that may lead to a material difference between Couche-Tard’s actual
results and the projections or expectations set forth in the
forward-looking statements include the effects of the integration of
acquired businesses and the ability to achieve projected synergies,
fluctuations in margins on motor fuel sales, competition in the
convenience store and retail motor fuel industries, exchange rate
variations, and such other risks as described in detail from time to
time in the reports filed by Couche-Tard with securities authorities in
Canada and the United States. Unless otherwise required by applicable
securities laws, Couche-Tard disclaims any intention or obligation to
update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise. The forward-looking
information in this release is based on information available as of the
date of the release.
SOURCE Alimentation Couche-Tard Inc.