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CENTENNIAL, Colo. — Western Convenience Stores has exited bankruptcy due to a financial restructuring. Following a due-diligence period, affiliates of Garrison Investment Group affirmed the chain's reorganization plan with a loan facility secured by the real estate and businesses of Western and its related companies. The transaction closed on Aug. 31.
The company filed for Chapter 11 bankruptcy on Dec. 28, 2015, after a creditor claimed the gas station operator defaulted on a 2014 agreement and moved to take over 37 of its 43 gas station businesses, according to court documents, as CSNews Online previously reported. It continued full operations during the bankruptcy period.
"We are delighted to have successfully completed our restructuring and emerge from the operational strains of bankruptcy. Our management team appreciates the support and assistance from Garrison and Petroleum Equity Group, and we can now focus our energy on enhancing and growing our profitable fuels and convenience store businesses," said Western Convenience Stores President Hossein Taraghi.
"This was a complicated deal, and we are fortunate to have worked with the knowledgeable, and highly skilled professionals at Garrison who are adept at managing a challenging financial situation," stated Ken Shriber, CEO of Petroleum Equity Group, which Garrison engaged to serve as its exclusive fuels and convenience store industry advisor in support of its analysis that resulted in the debt placement.
Western Convenience Stores operates under its own independent gas and c-store brand through 43 mostly fee-owned sites in Colorado and western Nebraska, with the majority located in the greater Denver area. It also delivers fuels to its stores through Western Truck One LLC.