Boyett Petroleum Acquires MCW Contracts
MODESTO, Calif. — Boyett Petroleum is growing its footprint in California via a deal with MCW Fuels Inc.
The Modesto-based fuel jobber purchased the fuel distribution contracts for 90 branded 76 and Valero sites from MCW Fuels. The transaction closed Dec. 18.
The move expands Boyett Petroleum's business portfolio in California. The majority of the sites are based in Southern California, with other sites in the Northern California region.
Prior to completion of this transaction, Boyett Petroleum was the largest Valero-branded distributor on the West Coast. This transaction will add an additional 51 sites. The 76-branded dealers are mostly located in Southern California, according to the company.
Boyett Petroleum operates more than 50 retail locations under the Cruisers, Boyett Petroleum and Kwik Serv brands. In addition, the company offers a variety of products and services nationwide, including wholesale fuel sales, retail and petroleum management services, agricultural fuel sales and the Cruise Americard universal fleet fueling card.
MCW Fuels is a division of Toronto-based MCW Energy Group Limited. MCW Energy Group agreed to sell its rights to distribute fuel to all of its branded and unbranded gas stations to Boyett Petroleum for $5 million and an additional amount calculated pursuant to the agreement based on gross profits over a certain time frame on or before April 15, according to MCW Energy Group.
MCW Energy Group added assets of MCW Fuels excluded from the sale included, without limitation, a gas station, including associated goodwill, located in Thousand Oaks, Calif.; all cash and cash equivalents; all accounts payables due to customers, suppliers, and third parties; all accounts receivable, notes and other receivables from third parties, customers and related parties due to MCW Fuels; all prepaid expenses and deposits; all rights, title and interest to any real property leased or owned by MCW Fuels; and all intellectual property rights related to the name MCW.