Schrader Oil Sells Business to EG Group
FORT COLLINS, Colo. — Schrader Oil Co. is selling its convenience store business to EG Group for an undisclosed sum. The deal is expected to close at the end of the year.
As part of the transaction, Schrader Oil's 18 c-stores and fuel sites in northern Colorado will be rebranded to EG Group's Loaf 'N Jug banner, bringing the Loaf 'N Jug c-store network in Colorado from 88 to 106.
Additionally, all site and field-based employees of Schrader will transfer to EG Group.
"We are thrilled to be passing the baton to a highly successful and growth-oriented company in EG," said Schrader Oil Co. President Steve Schrader. "We believe they have the capability to take our success and continue to support our community for many years to come. We believe we have found the best fit for our family, our employees, and our community."
In the United States, EG Group owns and operates Cumberland Farms, Certified Oil, Fastrac, Kwik Shop, Loaf 'N Jug, Minit Mart, Quik Stop, Tom Thumb and Turkey Hill. The purchase of Schrader Oil will bring EG Group's network to more than 1,700 stores operating in 33 states and retailing more than 2.5 billion gallons of fuel with merchandise sales of more than $3 billion on an annualized basis.
"We have a firm commitment to continue growing our presence in the USA, the world's largest convenience market," said Mohsin Issa, founder and co-CEO of EG Group. "We are extremely pleased to have reached an agreement to acquire Schrader Oil as another strong network addition to our existing business."
Although terms of the transaction were not disclosed, the deal is being funded using existing cash reserves and is not material to EG Group's balance sheet. The transaction is subject to customary regulatory approvals.
EG Group was founded in 2001 by the Issa Family in the United Kingdom. It currently employs more than 55,000 colleagues work in nearly 6,000 sites across Europe, the United States and Australia.