Lehigh Gas Completes Purchase of 69 C-stores
ALLENTOWN, Pa. -- Lehigh Gas Partners LP has completed its purchase of 69 convenience stores and gas stations in two separate transactions. The company paid a total of $71.5 million to purchase the locations.
The larger transaction was Lehigh Gas' acquisition of Express Lane, which included the latter's 45 c-stores and gas stations in the Florida panhandle region. The locations are concentrated in the Tallahassee and Panama City, Fla., metropolitan regions, as well as the Interstate 10 corridor.
Allentown, Pa.-based Lehigh Gas paid $43 million to acquire Express Lane, which came from the company's revolving credit facility. Among the 45 sites in the transaction, 43 sell motor fuel. 25 of the locations sell gasoline under the Chevron brand, 16 are marketed under the ExxonMobil name and two are unbranded fuel sites.
"The acquisition of Express Lane helps us accomplish two key goals pursuant to our overall growth strategy," said Joe Topper, chairman and CEO of Lehigh Gas. "We achieve expansion beyond our core geographic footprint in the Northeast and establish a foothold in a highly-trafficked metro market."
Closer to its headquarters, Lehigh Gas also completed its acquisition of 24 c-stores and gas stations in the Scranton and Wilkes-Barre, Pa., metropolitan areas for $28.5 million in cash.
The sites were purchased from Dunmore Oil Co Inc. and JoJo Oil Co. Inc. According to Lehigh Gas, the 24 locations sold an aggregate of 28 million gallons of motor fuel in 2011.
"This transaction illustrates our commitment to the execution of our overall growth strategy," said Topper. "We believe that the Dunmore and JoJo sites fit nicely into our existing portfolio and strengthen our presence in the highly-traveled corridor of northeastern Pennsylvania."
Lehigh Gas Partners was formed to engage in the wholesale distribution of motor fuel and to own and lease real estate used in the retail distribution of motor fuels.