7-Eleven has closed on the acquisition of 204 stores from Sunoco LP, comprising Stripes convenience stores and Laredo Taco Co. restaurants. The deal is valued at approximately $1 billion, as reported by Reuters.
The properties acquired by 7-Eleven are located across West Texas, New Mexico and Oklahoma. The two brands entered 7-Eleven’s portfolio in 2018 in a $3.3 billion acquisition from Sunoco. At that time 1,030 locations changed hands, across 17 states, growing the buyer’s U.S. footprint by 12 percent.
Following the current transaction, 7-Eleven will own and operate all Stripes and Laredo Taco locations, adding them to the more than 13,000 convenience stores the company already operates, franchises and licenses in the U.S. and Canada.
Sunoco representatives stated that proceeds from the loan will be used to reduce existing debt and facilitate growth opportunities. The company plans to grow its gasoline business through acquisitions of liquid fuel terminals throughout Europe from Zenith Energy, according to the same source.
In the 2018 deal, Sunoco entered a 15-year fuel supply agreement with a 7-Eleven under which it would provide roughly 2.2 billion gallons of fuel annually. This latest transaction includes amendments to that agreement, D Magazine reported.
Retail market shake-ups
Following the pandemic, the retail market’s recovery was not linear. Owners and operators attempted various strategies to get back on track, while the landscape was shaken up by surprising developments.
One of the latest such events was the demise of 99 Cents Only Stores LLC, putting 44 owned and 333 leased locations on the market. As different suitors emerge, operators navigate the story’s larger implications for the sector.
