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SANFORD, N.C. -- The Pantry, Inc., announced yesterday that it has completed the previously-disclosed acquisitions of 33 convenience stores in three states.
The largest of the transactions was the acquisition of 24 Sun Stop convenience stores in Florida, Georgia and Alabama from Southwest Georgia Oil Company, Inc. These stores, which generated revenues of approximately $110 million in 2005, mark the company's initial entry into the Tallahassee, Fla. and southwest Georgia markets.
The company also recently completed the acquisition of eight convenience stores in Gainesville and Ocala, Fla., from Rousseau Enterprises, Inc. These stores operate under a variety of banners, including LeStore, and generated revenues of approximately $21 million in 2005. In addition, the company has completed the acquisition of a convenience store in the Naples, Fla. market -- its second store in that market.
Separately, the company recently entered into definitive agreements to acquire two additional convenience stores in the Naples market, as well as a single store in Louisiana. These acquisitions, which are subject to regulatory approvals and other customary closing conditions, are expected to close in the company's third fiscal quarter.
All of these transactions, which are expected to be immediately accretive to the company's earnings per share, have been or will be financed with a combination of cash on hand and lease financing. Terms were not disclosed.
These deals bring the total number of stores that The Pantry has acquired or agreed to acquire so far in fiscal 2007 to 136. As of February 15, the chain operated 1,558 stores in 11 states under select banners, including Kangaroo Express, its primary operating banner.
Headquartered in Sanford, N.C., The Pantry is the leading independently-operated c-store chain in the southeastern U.S. and one of the largest independently-operated convenience chains in the country, with revenues for fiscal 2006 of approximately $6 billion.