Loeder Oil Sells Stores, Exits the C-store Industry
LAKE MILLS, Wis. — After 46 years in the industry, Loeder Oil is saying goodbye to the convenience retailing business.
The Lake Mills-based operator sold its nine c-stores to Dallas-based Moe's Mart LLC, operator of 22 locations across Texas, Iowa, Nebraska, and Kansas.
Loeder Oil was started by Bill Loeder in 1978 when he opened the first garage and c-store, in addition to delivering heating oil with five trucks and representing Lennox, offering a full heating department.
Bill Loeder's career in the petroleum industry began in 1969 with Amoco Fertilizer before transferring to the heating oil division in 1972 as an agent with one truck. In 1976, Amoco discontinued the agent relationship and replaced it with a jobbership relationship.
Dan Loeder joined the family business in 1988, and in 1992, the company decided to exit the heating oil and Lennox businesses and focus on managing and growing its c-store concept.
With the sale of its nine-store chain, Bill Loeder and Dan Loeder will pursue other opportunities.
Terry Monroe, founder and president of American Business Brokers & Advisors, and Bill Fecht of WJF Services Inc. provided merger and acquisition advisory services to Loeder Oil, which included valuation advisory, marketing and negotiation of the transaction.
Loeder Oil is the second small operator in recent months that is exiting the convenience retailing business after more than four decades. In February, Miller Oil Co. Inc. dba Miller's Energy announced it was exiting the industry after 40 years, selling off its 21 company-operated stores, two company-owned, dealer-operated stores, and more than 70 wholesale dealer accounts. The stores operate under the Miller's Neighborhood Market banner.
Global Partners LP, based in Waltham, Mass., purchased the 23 c-stores and 34 wholesale dealer accounts located in Virginia and North Carolina, while Doral, Fla.-based Sunshine Gasoline Distributors Inc. acquired the remaining wholesale dealer accounts in Florida. Terms of the deals were not disclosed.
Founded in 1977 by the late Augustus "Gus" Miller, Miller Oil started out as a home heating oil business and saw significant growth when it entered the convenience retailing and petroleum market in the 1980s. In the 2000s, the company expanded its fuels distribution business through the acquisition of a dealer portfolio in southern Florida.
Miller Oil also owns a Norfolk, Va.-based heating oil distribution and HVAC service business, which will continue to operate and expand after the sales.
Matrix Capital Markets Group Inc. advised Miller Oil on the deals.
"After 40 years in a great industry that gave me and my family so much, we decided to focus on other areas of our business," said President Jeffrey Miller. "We engaged Matrix to advise us on this emotional process, and we couldn't be happier with the result. We feel Global is a good fit culturally and feel confident our brand and employees will be well taken care of."