Circle K Inks First Franchise Agreement in Canada

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Circle K Inks First Franchise Agreement in Canada

02/01/2018
Circle K sign

LAVAL, Québec — Alimentation Couche-Tard Inc. has inked its first franchise agreement in Canada, just two weeks after the company announced it is offering new full-service franchise opportunities with its Circle K convenience store brand in the country.

McDougall Energy Inc. is the first company to take advantage of this opportunity, signing an agreement of 20 sites to open within the next five years.

Headquartered in Sault Ste. Marie, Ontario, McDougall is a privately owned family business that markets and distributes heating oil, propane, gasoline, diesel fuel and commercial lubricants. It is also an EssoTM retailer.  

“As a company looking for continued growth, it is a natural fit for us to partner with Circle K,” said McDougall Energy President Darren McDougall. “We are pleased to be aligning with the success and experience that comes with Circle K and to expand our dealer network with a leading brand in Canadian convenience stores.”

According to Couche-Tard, Circle K’s entrance into the Ontario franchise market is to foster the brand’s growth in rapidly developing province, as well as complement the company’s nearly 10,000 stores in North America, including more than 2,200 in Canada.

“We believe McDougall Energy will be an excellent partner in our growth in the Ontario market. McDougall Energy has proven itself as a successful owner of dealer networks, and will help drive traffic to the Circle K brand and its popular products for customers on the go in the Ontario province,” commented Matt McCure, vice president for Circle K Worldwide Franchise.

As of Oct. 15, 2017, and following the Holiday stores acquisition, Couche-Tard’s network comprised 9,987 convenience stores throughout North America, including 8,657 stores with road transportation fuel dispensing. In addition, through CrossAmerica Partners LP, Couche-Tard supplies road transportation fuel under various brands to more than 1,200 locations in the United States.

In Europe, Couche-Tard operates a broad retail network across Scandinavia, Ireland, Poland, the Baltics and Russia through ten business units. As of Oct. 15, 2017, Couche-Tard’s network comprised 2,750 stores, the majority of which offer road transportation fuel and convenience products while the others are unmanned automated fuel stations which only offer road transportation fuel.

In addition, under licensing agreements, more than 1,800 stores are operated under the Circle K banner in 14 other countries and territories, which brings the worldwide total network to more than 15,700 stores.