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DELMAR, Del. — J. William Gordy Fuel Co. has sold its company-operated retail network to Cato Inc. and its affiliates. Under terms of the deal, Gordy Fuel will retain independent ownership of its wholesale distribution business.
The four high-volume retail sites acquired by Cato are Exxon-branded and feature beer caves and Subway or Hardee's quick-service restaurants.
Petroleum Capital and Real Estate LLC (PetroCapRE) acted as advisor to Gordy Fuel during the sale.
During the transaction, PetroCapRE provided merger and acquisition advisory services to Gordy Fuel and set up a confidential marketing program that included a multi-round competitive bidding process to maximize the potential market value of the company's retail assets. The transaction was co-managed by John Sartory and John Flippen, Jr., managing directors of PetroCapRE.
"Due to the superior quality of the retail network, numerous regional and national marketers were involved in the confidential bidding process and we were excited that our firm could help the company achieve their goals through this sales process," Sartory said. "This was the perfect time for our client to sell his premium retail sites in what is still a very favorable marketplace for C&G operators interested in selling assets or exiting the industry."
Gordy Fuel was established in the early 1990s by E.E. Gordy, grandfather of current President and CEO Bill Gordy.