Cumberland Farms Reportedly Exploring a Sale
WESTBOROUGH, Mass. — Cumberland Farms could be the next name in the convenience channel to join the merger-and-acquisition arena.
According to the Oil Price Information Service (OPIS), the retailer hired Bank of America to explore its options and handle any future deal.
Citing sources with knowledge of the proceedings, the news service said CEO Ari Haseotes made the announcement to employees at a town hall-style meeting last week, reported the Journal Inquirer.
Based in Westborough, Cumberland Farms operates approximately 600 convenience stores in eight states. It is marking 80 years in business this year.
As for possible buyers, OPIS called out Alimentation Couche-Tard Inc., parent of Circle K, Irving Oil, Marathon Petroleum Corp. (MPC) and BP plc — many of which have been active participants in the increase in M&A activity in the convenience channel.
Over the past several years, Couche-Tard has acquired The Pantry Inc., parent of Kangaroo Express stores; CST Brands Inc., parent of Corner Stores; and most recently, Holiday Cos., parent of Holiday Stationstores.
In 2018, MPC acquired Andeavor to create a retail powerhouse and push its retail network Speedway LLC's national footprint to nearly 4,000. Shortly after, Speedway added 78 Express Mart locations in upstate New York and most recently, MPC signed an agreement to purchase New York's NOCO Express stores from NOCO Energy.
As for BP, it formed a joint venture with ArcLight Capital to acquire Thorntons Inc., based in Louisville, Ky., late last year, as Convenience Store News previously reported.