Mutual Oil Sells Wholesale Sites to Multiple Buyers

BROCKTON, Mass. -- Mutual Oil Co. Inc. has sold 19 gas stations and convenience store wholesale assets to several buyers including Alliance Energy LLC, a wholly owned subsidiary of Global Partners LP, and various regional jobbers and individual store operators.

Mutual conveyed fee simple interests in 17 of the sites and leasehold interests in the remaining two. The company has entered into long-term contracts to supply fuel to many of the buyers, primarily under its proprietary Mutual fuel brand. Matrix Capital Markets Group Inc. provided merger and acquisition advisory services to Mutual.

Mutual exited the directly operated retail business to focus solely on the wholesale distribution and transportation of fuels in 2003. As part of this conversion, Mutual leased its retail assets to Getty Petroleum Marketing Group Inc. (GPMI) in January 2003. However, on Dec. 5, 2011, GPMI filed for Chapter 11 bankruptcy reorganization that rejected the master lease containing Mutual's sites on March 27, 2012. Mutual had been leasing the sites to individual licensees and rebranded and supplied fuel to all of the sites primarily under the Mutual brand since that time.

Mutual, which is owned and operated by Ed Rachins and Steve Shaer, chose to sell the assets in an effort to focus exclusively on its wholesale business and not on managing retail assets.

"We have been very pleased with the professional and thorough manner in which Matrix has managed the entire process. They have been a pleasure to work with," Shaer said.

At Matrix, the transaction was managed by Tom Kelso, managing director and head of the energy and multi-site retail group; Spencer Cavalier, director; Sean Dooley, associate; and Andrew LoPresti, senior analyst.

"Our relationship with Mutual began back in 2006, and it has been our privilege to serve as their financial advisor over the years," Cavalier said. "We were delighted to have the opportunity to work closely with the Mutual team to monetize the value of the assets that Steve and Ed have held for many years."

Phillip Lapatin of Holland & Knight served as legal counsel for Mutual.