RaceTrac Inks Deal for Gulf Oil
ATLANTA — RaceTrac Inc. is growing its energy reach through a deal with Gulf Oil LP.
The Atlanta-based company's wholly owned wholesale fuel supply and trading subsidiary, Metroplex Energy, signed a definitive agreement to acquire Gulf Oil LLC.
As part of the transaction, RaceTrac will acquire Gulf's nationally recognized fuel brand across the United States and U.S. territories, all of Gulf's branded distributor and license agreements, and the exclusive rights to market fuel at Gulf's retail locations along the Massachusetts Turnpike.
This acquisition reflects RaceTrac's ongoing strategy to accelerate growth in its core business activities and drive enhanced operating efficiencies. The combination of Metroplex and Gulf creates a best-in-class fuel network with a leading presence in high-demand markets across the country and adds another renowned consumer-facing brand to RaceTrac's family of companies, the company stated.
RaceTrac is No. 13 on the 2023 Convenience Store News Top 100 list.
"The gasoline marketplace is undergoing historic and fundamental change and will continue to evolve rapidly. We are committed to remaining an industry leader and continuing to invest and grow our transportation fuels network," said AJ Siccardi, president of Metroplex Energy. "The combination of Gulf's outstanding distributor network and RaceTrac's history of driving retail fuel volume creates a tremendous opportunity to serve dealers and distributors in a manner that will make their sites successful fueling destinations of the future."
[Read More: RaceTrac Eyes Expansion to Two New States]
The transaction is subject to customary closing conditions, including approval under the Hart-Scott-Rodino Act, and is expected to be completed within 60 to 90 days. Financial terms are not being disclosed.
"This exciting acquisition continues our history of growth, expanding RaceTrac's family of companies to nearly 40 states across the continental U.S. and Puerto Rico," said RaceTrac CEO Max McBrayer. "Gulf is a trusted national brand that has been innovating and evolving for over 100 years, combining quality petroleum products with outstanding service. We look forward to continuing to expand the Gulf legacy."
Wells Fargo Securities LLC served as exclusive financial advisor to RaceTrac and Metroplex Energy. Kilpatrick Townsend & Stockton LLP served as legal advisor. Barclays served as exclusive financial advisor to Gulf Oil LP. Latham & Watkins LLP served as its legal advisor.
RaceTrac Inc. is the 22nd largest privately held company in the United States and has been serving guests since 1934. The organization has nearly 800 retail locations representing the RaceTrac and RaceWay brands in 12 states in the southeast. RaceTrac employs more than 10,200 team members across RaceTrac, RaceWay and affiliated companies Metroplex Energy and Energy Dispatch.
Metroplex Energy sells fuels to all RaceTrac locations, as well as many other leading retailers and fuel wholesalers in 15 states primarily in the southeast. Energy Dispatch employs more than 250 drivers and operates 98 tractor-trailers out of six states, delivering more than 1.2 billion gallons of fuel each year.
Metroplex Energy is an Atlanta-based wholesale fuel supply and trading company that secures bulk fuel to supply rack sales and delivery of gasoline, diesel and biofuel products by pipeline, rail, truck, barge and vessel.
Gulf is a Wellesley, Mass.-based company with more than 120 years of dedicated service, fuel supply, retail programs and the latest loyalty offerings to its customers and consumers. Gulf fuels consumers through approximately 1,200 Gulf branded locations across the United States and Puerto Rico.