Colbea Enterprises Acquires 34 Sites from Motiva
HOUSTON -- In accordance with Motiva Enterprises LLC's previously announced plan to transition all Shell-branded retail sites to wholesale-supplied, Colbea Enterprises LLC will acquire 34 Shell-branded retail sites in Rhode Island from Motiva, Motiva stated.
CSNews Online reported in a newsflash yesterday that Colbea, which currently operates 21 Shell-branded sites, will become one of the largest Shell-branded wholesalers in the Northeast as a result of the purchase, according to Motiva, which has partial ownership in Colbea. The stations will remain Shell-branded to better serve customers and maintain the brand’s awareness in the region, the company stated.
"Motiva continuously evaluates its options with regards to strengthening network growth through the wholesale class of trade, and this offer presented just that opportunity," Jim Deakin, general manager of the retail east region for Motiva, said in a statement. "Colbea is a proven company and has demonstrated its experience in managing and growing the Shell brand in Rhode Island."
In addition, Colbea, which is also owned by East Side Enterprises LLC, will supply more than 85 million gallons annually to 55 Shell-branded locations in Rhode Island, and serve as a wholesaler for Shell-branded motor fuels, the company stated. Due to a confidentiality agreement between the parties, the purchase price was not disclosed.
"The purchase of the Rhode Island assets complements Colbea's existing network and affords us a great opportunity to successfully market Shell-branded products across the entire state of Rhode Island," Andrew Delli Carpini, CEO of East Side Enterprises, said in a statement.
The divestment is part of Motiva's plan to sell company-owned retail locations to wholesale-supplied locations in an effort to grow the Shell brand and improve the network’s long-term sustainability, according to previous company statements. The plan, which began in 2005, calls for the transition of Shell's remaining 2,000 company-owned stations and 400 retail supply contracts left in its network during the next two years, CSNews Online reported in early October.
Areas that will be transitioned during that time include Philadelphia and southern New Jersey, Fairfield, Conn., Houston, Dallas, New Orleans, Portland, Alaska, Sacramento, Hawaii, Washington D.C., southeast Florida, Boston, New York, San Francisco, Chicago, Seattle and remaining sites in Los Angeles, Anne Peebles told CSNews Online in October. The transition is under way and is expected to continue into 2009, she added.
To date, Shell has transitioned markets in Cincinnati, Columbus, Denver and Indianapolis. Meanwhile, its joint venture, Motiva, transitioned markets in Atlanta, Austin, Baton Rouge, Birmingham, Orlando, southwest Florida, Tampa, Memphis and some individual sites in Connecticut, according to the company.
CSNews Online reported in a newsflash yesterday that Colbea, which currently operates 21 Shell-branded sites, will become one of the largest Shell-branded wholesalers in the Northeast as a result of the purchase, according to Motiva, which has partial ownership in Colbea. The stations will remain Shell-branded to better serve customers and maintain the brand’s awareness in the region, the company stated.
"Motiva continuously evaluates its options with regards to strengthening network growth through the wholesale class of trade, and this offer presented just that opportunity," Jim Deakin, general manager of the retail east region for Motiva, said in a statement. "Colbea is a proven company and has demonstrated its experience in managing and growing the Shell brand in Rhode Island."
In addition, Colbea, which is also owned by East Side Enterprises LLC, will supply more than 85 million gallons annually to 55 Shell-branded locations in Rhode Island, and serve as a wholesaler for Shell-branded motor fuels, the company stated. Due to a confidentiality agreement between the parties, the purchase price was not disclosed.
"The purchase of the Rhode Island assets complements Colbea's existing network and affords us a great opportunity to successfully market Shell-branded products across the entire state of Rhode Island," Andrew Delli Carpini, CEO of East Side Enterprises, said in a statement.
The divestment is part of Motiva's plan to sell company-owned retail locations to wholesale-supplied locations in an effort to grow the Shell brand and improve the network’s long-term sustainability, according to previous company statements. The plan, which began in 2005, calls for the transition of Shell's remaining 2,000 company-owned stations and 400 retail supply contracts left in its network during the next two years, CSNews Online reported in early October.
Areas that will be transitioned during that time include Philadelphia and southern New Jersey, Fairfield, Conn., Houston, Dallas, New Orleans, Portland, Alaska, Sacramento, Hawaii, Washington D.C., southeast Florida, Boston, New York, San Francisco, Chicago, Seattle and remaining sites in Los Angeles, Anne Peebles told CSNews Online in October. The transition is under way and is expected to continue into 2009, she added.
To date, Shell has transitioned markets in Cincinnati, Columbus, Denver and Indianapolis. Meanwhile, its joint venture, Motiva, transitioned markets in Atlanta, Austin, Baton Rouge, Birmingham, Orlando, southwest Florida, Tampa, Memphis and some individual sites in Connecticut, according to the company.