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ALLENTOWN, Pa. — CrossAmerica Partners LP officially added to its Midwest footprint, closing on its acquisition of 31 Holiday Stationstores.
CrossAmerica inked the initial deal with SSG Corp. in early January.
Of the 31 company-operated stores, 28 are located in Wisconsin and three are in Minnesota. CrossAmerica also purchased the land associated with 27 of the sites.
"We are excited to finalize the purchase of these quality stores from SSG Corp. and become a Holiday Stationstores franchisee," said CrossAmerica President Jeremy Bergeron. "This now brings our number of fuel distribution locations to 95 in the upper Midwest market, and over 1,250 nationally."
The $48.5-million purchase price, as well as inventory and closing costs, was financed under CrossAmerica's credit facility. It expects the acquisition to be immediately accretive to distributable cash flow to limited partners.
This latest transaction builds on CrossAmerica's February 2015 acquisition of Erickson Oil Products Inc. and certain related assets for $85 million. Hudson, Wis.-based Erickson operated 64 convenience stores in Minnesota, Michigan, Wisconsin and South Dakota, with a concentration in the Minneapolis/St. Paul region, as CSNews Online previously reported.
Allentown-based CrossAmerica is a wholesale distributor of motor fuels and owner and lessee of real estate used in the retail distribution of motor fuels. Its general partner, CrossAmerica GP LLC, is a wholly owned subsidiary of San Antonio-based CST Brands Inc.
CrossAmerica is a distributor of branded and unbranded petroleum for motor vehicles in the United States and distributes fuel to more than 1,250 locations. It owns or leases more than 800 sites, with its geographic footprint covering 29 states.
Bloomington, Minn.-based Holiday Stationstores has more than 500 c-stores located throughout 10 states in the Northern Tier region of the United States: Minnesota, Wisconsin, Michigan, North Dakota, South Dakota, Montana, Wyoming, Idaho, Washington and Alaska.