PMG New Jersey Closes Acquisition of 117 Exxon Stations
JERSEY CITY, N.J. -- The deal is done. PMG New Jersey LLC II has closed on 117 Exxon-branded gasoline service stations and dealer supply-only agreements in New Jersey.
The locations, which are located in northern and central New Jersey, were part of a 2,200-site portfolio ExxonMobil Corp. brought to market in June 2008 as part of its decision to exit the direct-served business. Of those sites, 236 were located in the Garden State, as CSNews Online previously reported.
PMG New Jersey LLC II is a newly formed entity created by Petroleum Marketing Group Inc., a Shell, Exxon, Mobil, Sunoco, Gulf and Citgo branded jobbership, and a leading regional distributor of petroleum products and services in the Mid-Atlantic and northeast regions of the United States. Petroleum Capital and Real Estate LLC acted as the exclusive financial advisor for PMG New Jersey.
"We are excited that we could help facilitate this complex and multi-tiered transaction in what is still a rather challenging credit environment," said John Sartory, managing director and principal of Petroleum Capital and Real Estate. "This was a rare opportunity for our client to acquire a large number of premium real estate sites and long-term, supply-only agreements from the Exxon retailers that exercised their right of first refusal purchase option under New Jersey state law.
"In addition, our firm was able to structure the transaction in a manner that allowed our client to secure all of the senior secured credit facilities required to close on the transaction from a single regional lender," he added. "As a result, PMG New Jersey was able to avoid the costly and time consuming loan syndication process."
This is the third major acquisition in which Petroleum Capital and Real Estate has acted as the exclusive financial advisor to the Petroleum Marketing Group Inc.
New Jersey is the last stop on ExxonMobil's divesture plan. Ken Shriber, managing director of Petroleum Equity Group Ltd., told CSNews Online last month that "the vast majority of dealers" are taking title to their locations. He represented several dealers; those transactions closed in April.