Matrix Announces the Successful Divestment of 50 CEFCO Petroleum Marketing & Convenience Retail Stores
RICHMOND, VA / BALTIMORE, MD – June 2, 2022 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Fikes Wholesale, Inc., d/b/a CEFCO Convenience Stores, and its affiliates (“CEFCO” or the “Company”) on the divestment of 50 of the Company’s company-operated petroleum marketing and convenience retail stores located in Texas, Louisiana, Mississippi, Arkansas, and Alabama. BreakTime Corner Market, L.L.C. and its affiliates (“BreakTime”) acquired 48 of the Company’s stores and Refuel Operating Company, LLC d/b/a Refuel acquired two stores in Mississippi.
CEFCO has been serving customers’ convenience needs since its first store opened in 1979. Through organic growth and acquisitions, the Company has expanded to over 250 locations across six states (Texas, Louisiana, Arkansas, Alabama, Mississippi, and Florida). The divestment of these 50 locations enables CEFCO to enhance its capital allocation and focus investment in new stores and remodeling of existing convenience stores.
In addition to the more than 200 petroleum marketing and convenience retail locations that the Company will continue to operate, Fikes Wholesale, Inc. owns and operates a wholesale fuels business (Fikes Fuels), a fuels transportation business (Group Petroleum Services, Inc.), an ATM solutions provider (CORD Financial Services), and an ATM processor (Digital Network Solutions).
Matrix provided merger and acquisition advisory services to CEFCO, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Spencer Cavalier, CFA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group; John Underwood, Managing Director; Martin McElroy Jr., CFA, Senior Associate; and James Mickelinc, CPA, Senior Analyst.
Mr. Raymond Smith, President, Fikes Wholesale, Inc., commented, “We appreciate Matrix’s thorough and professional representation throughout this transaction. With plans to open twenty new stores this year, CEFCO will continue to build, open and operate stores that fit its vision of being a first-tier convenience-driven retailer with engaged employees who sell great food and provide great service in an exceptionally clean environment.”
Mr. Cavalier added, “Fikes is one of the best managed and disciplined convenience retailers in the U.S. We are honored to have worked with their executive management team to divest these stores in order for them to redeploy capital to continue growth in their target markets and preferred store prototypes.”
Matrix Announces the Successful Sale of Quarles Petroleum, Inc.’s Propane and Refined Fuels Distribution Business
RICHMOND, VA / BALTIMORE, MD – June 1, 2022 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces the successful closing on the sale of the propane and refined products distribution business of Quarles Petroleum, Inc. (“Quarles” or the “Company”) to Superior Plus Energy Services, Inc., a subsidiary of Superior Plus Corp. (“Superior”). The assets included in the sale to Superior comprise the Company’s delivered fuels business that supplies propane and refined fuels to residential and commercial customers in Virginia and West Virginia from its large network of bulk plants and customer service centers.
Quarles was founded in 1940 by Douglas Quarles Sr. and his son, Douglas Quarles Jr. by purchasing The Home Oil Company in Warrenton, Virginia. Over the next 40 years, the Company expanded into new regions in Virginia and acquired a storage terminal in Spotsylvania County, Virginia, providing a connection to the Plantation Pipeline. In the 1980’s, Quarles began opening cardlock fueling locations and convenience stores, and the Company also entered the propane business. In the two decades that followed, the Company opened a total of 31 Q-Stop convenience stores before selling them to 7-Eleven, Inc. in 2010 to focus on the delivered fuels and fleet fueling businesses. Under the leadership of the current management team, Quarles has grown significantly over the last ten years through the continued development of its cardlock network and fleet fueling program, as well as several acquisitions of propane & refined products distribution companies including Whiting Oil Company, Northern Neck Oil Company, Northern Neck Gas, Revere Gas Company, the propane assets of PAPCO, Inc., and Dixie Gas & Oil.
Today, Quarles is one of the largest propane and refined fuels distribution companies in the U.S. and serves over 80,000 residential and commercial customers in Virginia, West Virginia, Washington, D.C., Maryland, Pennsylvania, and North Carolina through a network of over 30 bulk plants, over 120 Quarles branded cardlocks, and over 60 private cardlock sites. The sale to Superior did not include the Company’s fleet fueling and cardlock assets, the wholesale dealer business, or the lubricants business.
Matrix provided merger and acquisition advisory services to Quarles, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Vance Saunders, CPA, Managing Director; Spencer Cavalier, CFA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group; John Duni, CFA, CPA, Vice President; and Michael Tucker, CFA, Associate.
“The Matrix team was instrumental in identifying Superior as a good match to acquire our delivered fuels business. They guided us through the entire process from marketing our business to buyers to managing through the closing process,” said Paul Giambra, CEO of Quarles Petroleum. “We’re pleased to transition our delivered fuels business to a company that shares our values of providing a high level of customer service and values the contributions of our associates to the success of our business.”
Mr. Saunders added, “We’ve had a long relationship with Quarles for many years and have watched them build an exceptional business. We’re honored to have had the opportunity to advise the Company and its shareholders on this transaction, and we’re especially grateful for the tireless efforts of the management team to execute on a complex carve-out of these assets.”
Larry Parker, Trevor Wind, Mary Katherine McGetrick, David Allen, and Jonathan Bliley of Williams Mullen served as legal counsel for Quarles.
Matrix Announces Capital Raise for Saratoga Casino Holdings
RICHMOND, VA / BALTIMORE, MD – May 18, 2022 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it served as lead advisor on Saratoga Casino Holdings’ (“SCH” or the “Company”) financing and acquisition of Magnolia Bluffs Casino Hotel in Natchez, Mississippi (acquisition subject to regulatory approvals and other customary closing conditions).
SCH owns and operates Saratoga Casino Hotel, in Saratoga Springs, NY featuring more than 1,300 slot machines, electronic table games, a live-entertainment venue, a variety of dining options and bars, live harness racing, and simulcast wagering. The Company also owns and operates Saratoga Casino Black Hawk, located in the historic town of Black Hawk, CO featuring over 380 slot machines, six table games, a full-service restaurant, bar, and a variety of guest services. SCH is also a partner with Delaware North Companies in the operation of Gideon Putnam Resort and Roosevelt Baths in Saratoga Springs.
“We are proud to add Magnolia Bluffs Casino Hotel to our portfolio of gaming assets and further diversify our business,” said Sam Gerrity, Chief Executive Officer of SCH. “We are committed to operating first class gaming facilities, and we do that by creating lasting relationships with our guests, team members and the communities that we serve. We look forward to welcoming Magnolia Bluffs guests and team to the Saratoga family. As we continue to expand our presence, we were fortunate to work with Matrix to structure and intermediate this important financing. Their experience, expertise, and objective approach were critical to securing capital on terms that were very attractive to the Company.”
Located on the Mississippi River, Magnolia Bluffs Casino Hotel opened in 2012 and features over 450 slot machines, 14 table games, a restaurant and bar, a sportsbook, and a 141-room hotel located off-site in the heart of the Natchez, MS.
Matrix provided buy-side and capital advisory services to SCH, which included financial modeling, assessment of optimal financing strategy, enhanced structural flexibility, and negotiation of the financing. The transaction was managed by John Whalen, Head of Matrix’s Capital Advisory Investment Banking Group, Ryan Weir, Vice President, and Garrett Novotny, Analyst.
Alex Tucker, COO and Treasurer of SCH commented, “Throughout the entire process, the Matrix team provided excellent guidance and advice. Their determined, yet flexible approach and proven methodology allowed for the best outcome for all parties. Simply put, we could not have achieved this without them.”
Mr. Whalen added, “We very much appreciate the trust that Saratoga placed in us to advise them on the capital raise. SCH is a best-in-class regional gaming operator and the acquisition of Magnolia Bluffs represents a transformational acquisition for the Company as it further scales and diversifies. Matrix is privileged to work with the SCH Team.”
Matrix Announces the Successful Sale of Melvin L. Davis Oil Company, Inc. d/b/a Davis Travel Centers
RICHMOND, VA / BALTIMORE, MD – April 12, 2022 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Melvin L. Davis Oil Company, Inc. d/b/a Davis Travel Centers (“Davis” or the “Company”) on the sale of its highway travel centers, convenience retail stores, and quick-service restaurants to an affiliate of Petroleum Marketing Group, Inc. (“PMG”). As part of the transaction, Davis and PMG have entered into a transition services agreement.
The Company’s two high-volume, full-service travel centers are located along I-95 and I-85 in South Central Virginia and are part of the AMBEST network of independent truck stops. In addition to its travel centers, Davis also operates two large-format convenience stores under the Company’s Davis Express store brand and numerous branded quick-service restaurants, which include Wendy’s, Popeyes, Little Caesars, Subway, Starbucks, and Dunkin’ Donuts. The travel centers and convenience stores offer Exxon or Mobil branded fuels and the two travel centers also sell unbranded diesel fuels at their high-speed diesel islands.
The Company was founded in 1956 in Sussex, Virginia when Irvin Davis, Sr. and his son, Melvin Davis, Sr. began operating a single restaurant and gasoline filling station in Stony Creek, Virginia. During the 1980’s, Davis expanded into the convenience retail business, eventually operating up to 14 traditional convenience stores. Now under the leadership of Melvin (“Mel”) Davis Jr. and J. Rex Davis, who represent the third generation of the Davis family, the Company has operated in the travel center, convenience retail, restaurant, and fuels businesses for over 65 years.
Matrix provided merger and acquisition advisory services to Davis, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Cedric Fortemps, CFA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group, Stephen Lynch, CFA, CPA, Director, John Mickelinc, CFA, Associate, and Alex Harper, Analyst.
Rex Davis commented, “Throughout the entire process, the Matrix team provided excellent guidance and advice. Their determined, yet flexible approach and proven methodology allowed for the best outcome for all parties. Simply put, we could not have achieved this without them.”
Mr. Fortemps added, “We very much appreciate the trust that Mel and Rex placed in us to advise them on the sale of the incredible business they’ve worked so hard to build. These facilities and operations are best-in-class, which is how they have developed such a large and loyal commercial driver and passenger vehicle customer base from travelers along the I-95 and I-85 corridors in southern Virginia.”
Stephen Burke, and Beth Hungate-Noland, from Williams Mullen served as legal counsel for Melvin L. Davis Oil Company, Inc.
Matrix Announces the Successful Sale of Select Retail Assets of Global Partners, LP to an Affiliate of Petroleum Marketing Group, Inc.
RICHMOND, VA / BALTIMORE, MD – April 4, 2022 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Global Partners LP (NYSE:GLP) (“Global” or the “Company”) on the sale of select fuel and convenience retail outlets (the “Stores”) to an affiliate of Petroleum Marketing Group, Inc. (“PMG”). The Stores are all located in Connecticut.
The terms of the transaction and sale of the seven select sites were made pursuant to a Federal Trade Commission (“FTC”) consent order in connection with Global’s acquisition of Consumers Petroleum of Connecticut, Inc. (“Consumers”). Under the terms of the proposed consent order, Global and Consumers/Richard Wiehl were required to divest certain sites associated with the Global and Consumers transaction.
Matrix provided merger and acquisition advisory services to Global, which included valuation advisory, marketing the Stores through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Spencer Cavalier, CFA, ASA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group and Stephen Lynch, CFA, CPA, Director.
Mark Cosenza, Senior Vice President of Global, commented, “We appreciate the work and professionalism of Matrix in helping to market and complete the sale of these seven sites as required by the FTC, allowing us to complete the purchase of 26 sites in Connecticut. We are confident the assets will be well managed by PMG.”
Mr. Cavalier remarked, “We are very pleased to have had the opportunity to advise Global and grateful for the trust they placed in us to help settle the FTC issue. Although Global’s involvement with these sites has come to an end, we fully believe these facilities will be in good hands under PMG’s stewardship.”
Hill Wellford and David Smith of Vinson & Elkins LLP served as legal counsel for Global Partners LP.
Matrix Announces the Successful Sale of the Motor Fuels & Convenience Retail Business of Miller Oil Company, Inc.
RICHMOND, VA / BALTIMORE, MD – February 2, 2022 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Miller Oil Company, Inc., d/b/a Millers Energy, and its affiliates (“Miller” or the “Company”) on the sale of the Company’s 21 company-operated petroleum marketing and convenience retail stores, two company-owned dealer-operated stores, and over 70 wholesale dealer accounts located in Virginia, North Carolina, and Florida. Global Partners LP (NYSE: GLP) acquired all of the Company’s stores and wholesale dealer accounts located in Virginia and North Carolina. Sunshine Gasoline Distributors, Inc. acquired all of the Company’s wholesale dealer accounts in Florida.
Miller was founded in 1977 by the late Augustus “Gus” Miller when he purchased Exxon Company USA’s home heating oil business in Norfolk, VA. Throughout the 1980’s, the Company experienced significant growth as the business expanded into convenience retailing and petroleum marketing. In the 2000’s, the Company expanded its fuels distribution business into southern Florida with the acquisition of a dealer portfolio. Today, Jeffrey “Jeff” Miller, President of Miller, manages the Company, as he has done for the last 25 years.
In addition to the petroleum marketing, fuels distribution and convenience retail business sold, Miller Oil Company owns and operates a heating oil distribution and HVAC service business with operations in Virginia, from Virginia Beach to Manassas, which the Company will continue to own and grow.
Matrix provided merger and acquisition advisory services to Miller, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Cedric Fortemps, CFA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group; Martin McElroy Jr., CFA, Senior Associate; and Michael Tucker, CFA, Senior Analyst.
Mr. Jeffrey Miller commented, “After 40 years in a great industry that gave me and my family so much, we decided to focus on other areas of our business. We engaged Matrix to advise us on this emotional process, and we couldn’t be happier with the result. We feel Global is a good fit culturally and feel confident our brand and employees will be well taken care of.”
Mr. Fortemps said, “Jeff should be extremely proud of the incredible business his family has built and their long history of serving and giving back to the communities where they operate. Our relationship with Jeff and Gus goes back many years, which makes it especially gratifying to have been able to advise on this successful transaction.”
“The addition of Miller’s significantly expands our retail presence in the mid-Atlantic region and complements our portfolio of over 80 controlled sites and dealer network. Acquiring these high-quality locations enables us to further capitalize on our scale, supply relationships, and our integrated model to enhance product margin along each step of the value chain,” said Global Partners LP President and CEO Eric Slifka. “Like Global, Miller’s is a family-founded business with shared values around community and a commitment to customer experience. This purchase demonstrates our appetite to grow our book of business.”
Tom Frantz, Otto Konrad and Meagan Kalantar of Williams Mullen served as legal counsel for Miller.
Matrix 2021 Year In Review
Friends,
We sincerely hope that you and your families continue to be healthy and safe. We want to start by thanking all of our clients who made 2021 the most successful year in the history of Matrix. We greatly appreciate that they entrusted us to advise them on their M&A transactions, capital raising needs and valuation mandates. 2021 was certainly an interesting year. As a nation, we dealt with the challenges of COVID-19 on a personal level at home with family and friends, as well as professionally with our businesses. At Matrix, like many of you, we have certainly felt the effects of both. The combination of fear of potential tax hikes, rapid consolidation in many industries, low interest rates and robust capital availability, drove M&A activity to record levels. We are extremely proud of the way everyone at Matrix has dealt with the on-going adversity and worked hard to meet the challenges we faced throughout the year. Our entire team continues to live up to The Matrix Principle in every respect. We are also incredibly thankful for the many valued relationships we have with our clients and sincerely appreciate the confidence they placed in us as their advisor.
In 2021, we had the privilege of working with many exceptional clients and are grateful to have advised on 29 successful transactions. These included company sales, corporate carve-outs, buy-side assignments and capital raises. In addition, we also advised on 15 valuation engagements for the purposes of estate, strategic and/or exit planning.
In February, we moved into our new corporate offices at Gateway Plaza in Richmond and added significant space to accommodate current and future growth.
In June, we made the decision to drive additional growth for the firm with the launch of our Capital Advisory Investment Banking Group. Industry veteran, John Whalen joined Matrix as Head of the group, along with Ryan Weir, Vice President and Garrett Novotny, CPA, Analyst. The addition of this new group has brought an even deeper level of experience and focus to all facets of capital advisory and transaction execution, as well as provided our clients with expertise on capital structure efficiency, liquidity, and go-to-market strategy.
In early November, Tod Butler, Senior Advisor, was the proud recipient of the Society of Independent Gasoline Marketers of America (SIGMA) 2021 Distinguished Statesman Award. The award was presented to Mr. Butler as an individual whose deeds and efforts over the last 50 years have made a significant contribution to the welfare of the retail and wholesale fuels marketing industry. He is one of only five individuals to be so honored in the history of the association. In 2001, he joined Matrix as a Vice President in the firm’s Downstream Energy & Convenience Retail Investment Banking Group, where he has focused on business development and client advisory, and he served in that capacity until he became a Senior Advisor in 2019. Since joining Matrix, Mr. Butler has led the firm’s partnership with SIGMA and continued to focus his efforts on the association’s growth in membership and as counsel to its leadership.
In addition to John Whalen, Ryan Weir and Garrett Novotny, CPA with our Capital Advisory Group, we also welcomed several other team members to Matrix, including David Corbett, Director, CFA; James Mickelinc, CPA, Alex Harper and Alex Rakos as Analysts, all in our Downstream Energy & Convenience Retail Investment Banking Group. Sahan Pandey, Analyst, joined our Consumer & Industrial Products Investment Banking Group, Maggie Gerhardt came on board as Director of Compliance, and Jessica Cookmeyer joined as Marketing Coordinator.
We would also like to recognize Sean Dooley, CFA, ASA; Martin McElroy, CFA; Matt Oldhouser, CPA; Kyle Tipping, CFA; John Mickelinc, CFA; Nate Wah, CPA and Mike Tucker, CFA whose contributions to Matrix and our clients resulted in promotions. Our goal has always been to provide our employees with opportunities to develop and grow their careers at Matrix, and we look forward to their continued achievements in the years to come.
As the new year begins, we know that many challenges still linger from the pandemic, including continued uncertainty around taxes, interest rates and the pandemic. However, we remain optimistic about the coming year and hope that it will be a time of renewal and success for all. For over 34 years, throughout all types of market conditions, Matrix has been providing serious advice and sound transaction execution services to our clients. Through our deep knowledge of the industries we serve, ability to execute highly complex customized transactions and negotiating experience, we guide each of our clients through their most difficult decisions and help them derive maximum value for their business. This is why “We’re Known By The Work We Do”.
We wish you all the best in 2022.
Matrix Announces the Successful Sale of Berger & Burrow Enterprises, Inc. d/b/a Dynamic Mobile Imaging
RICHMOND, VA / BALTIMORE, MD – December 20, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Berger & Burrow Enterprises, Inc. d/b/a Dynamic Mobile Imaging (“Dynamic” or “DMI”), on its successful sale to True North Health Navigation LLC d/b/a DispatchHealth, the nation’s first comprehensive in-home medical care provider. Dynamic, headquartered in Richmond, VA, provides mobile x-ray and ultrasound services across the eastern half of the U.S. including Virginia, North Carolina, South Carolina, Georgia, Maryland, Washington, D.C., Delaware, Wisconsin, Indiana, Ohio, Minnesota, Kentucky and Michigan.
Originally founded in 2005 by a family of radiologic technologists, including Debbie Berger, Chief Executive Officer, Dean Berger, Chief Operating Officer, and Ron Burrow, Dynamic is a premier provider of portable digital x-rays, ultrasounds, EKGs, holter monitors, echocardiograms and dopplers. DMI provides these services to patients in skilled nursing facilities, assisted living homes, correctional facilities, universities, and home settings, as well as for sports teams and others who are unable to be transported easily. Over time, Dynamic expanded geographically beyond Richmond, VA and the surrounding region to include twelve states and the District of Columbia, growing to become one of the largest mobile imaging companies in the U.S. At the time of the transaction, DMI was owned by Debbie Berger, Dean Berger, and Clara Burrow, Chief Quality Officer.
Dynamic prides itself on having superior digital technology which allows for expedited care. By demonstrating continuous compliance with its high-performance standards and a commitment to providing safe and effective care, DMI is also proud to hold The Joint Commission’s Gold Seal of Approval®.
Matrix provided merger & acquisition advisory services to DMI, which included marketing the transaction, advising on valuation, deal structure, and other transaction terms, and ultimately achieving a successful execution. The transaction was managed by Amanda Verner Thompson and Vasanta Pundarika, Co-Heads of Matrix’s Healthcare Investment Banking Group; Casey Van de Walle, Director, and Anthony Hoffman, CPA, Analyst.
Debbie Berger, CEO of Dynamic, commented, “We were so fortunate to have worked with Matrix as our advisor. They have the most dedicated, super-charged team in the investment banking industry. They are here to get things done. We could not have done this without them.”
Ms. Thompson said, “We are excited to have advised the owners of Dynamic Mobile Imaging as they enter into this partnership with DispatchHealth and take the next step to enhance their future growth plans. It is truly a landmark transaction in the mobile imaging space.”
Ms. Pundarika added, “Multiple generations of the family have dedicated their energy into building up Dynamic Mobile Imaging. We are honored to have represented Debbie, Dean and Clara as they made this important decision for DMI.”
Williams Mullen served as legal counsel to Dynamic.
Matrix Announces the Successful Sale of Haywood Oil Company, Inc.’s (d/b/a Peak Energy) Convenience Retail, Petroleum Marketing and Wholesale Fuels Business
RICHMOND, VA / BALTIMORE, MD – December 20, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Haywood Oil Company, Inc. d/b/a Peak Energy (“Peak” or the “Company”) on the sale of its convenience retail, petroleum marketing, and wholesale fuels business to Majors Management, LLC. The Company is headquartered in Waynesville, NC and operates retail stores and serves wholesale customers throughout western North Carolina, as well as parts of South Carolina, Georgia and Tennessee.
Incorporated in 1952, Haywood Oil Company has grown from a local home heating oil delivery company into a leading petroleum marketer, fuels distributor and foodservice business. In 1973, David Blevins left Exxon to become President of Haywood Oil Company. The Company grew through multiple acquisitions that brought additional convenience stores, bulk plants, and fuel brands to the business.
Todd Blevins became President of Haywood Oil Company, Inc. in 1999 and continued the Company’s legacy of growth by making seven acquisitions over the next ten years and added a complementary branded foods division. The Company grew its wholesale fuels business by providing its network of 100+ dealers with site and building design, financing, fleet fueling, and branded fuel options. The Company’s fuel brand offerings consist of BP, Exxon, Mobil, Citgo and Sunoco, as well as independent brands.
Matrix provided merger and acquisition advisory services to Peak, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the sale. The transaction was managed by Cedric Fortemps, CFA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group; Andrew LoPresti, CFA, CPA, Vice President; and Michael Tucker, CFA, Senior Analyst.
Mr. Blevins commented, “It was a difficult decision to sell the business. I am very thankful for the talented people that helped us build the Company over the years. I enjoyed working with Cedric and his team at Matrix. They managed the sale from valuation to closing with an organized and professional process and I am very pleased with the outcome. In addition, Otto Konrad and his legal team at Williams Mullen were excellent to work with and helped make this transaction a success.”
Mr. Fortemps added, “The density of Peak’s retail and wholesale assets in growing markets made the opportunity very attractive to companies in the industry looking to expand. We’re pleased that we were able to achieve a very successful outcome on an accelerated timeline for the Blevins family and are excited for what lies ahead for them.”
Ben Smith, President of Majors Management, LLC, said, “Todd Blevins and all members of his team have built a great organization. We hope to build upon their success and grow our footprint in Western North Carolina and Tennessee.”
Otto Konrad, Amber Duncan, Lauren Pennington, and Elizabeth Chapman of Williams Mullen served as legal counsel for Peak.
Matrix Announces the Successful Sale of Slidell Oil Company, LLC
RICHMOND, VA / BALTIMORE, MD – December 17, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces the successful closing on the sale of the assets of Slidell Oil Company, LLC (“Slidell” or the “Company”) to Circle K Stores Inc.
Slidell owned a chain of convenience stores operated by commissioned agents under the Company’s Purple Cow convenience store brand and provided wholesale motor fuels to a network of dealers. The Company’s assets were located in Alabama, Mississippi, and Louisiana, with a significant market presence in Montgomery, Alabama and Slidell, Louisiana. The Company marketed primarily Chevron and Shell branded motor fuels and supplied unbranded fuels to a few dealer locations.
Based in Slidell, Louisiana, the Company is a third-generation family-owned business founded in 1948 as a Shell jobber and acquired by Willis A. Baker in 1952. Willis’ son, W.A. Baker, Jr., joined the Company in 1973 and continued to grow the business and expand the Company’s marketing territory. By 1998, Brian and Keith Baker, the Company’s current owners and Co-Chief Executive Officers, joined the family business. Under their leadership, Slidell continued to grow organically by building new sites and acquiring customers throughout their marketing area. They also acquired Interstate Oil Company in 2011, which gave them a significant presence in the Montgomery, Alabama market. In 2016, the Company sold its lubricants and commercial fuels divisions in order to focus on its retail and wholesale motor fuels businesses.
Matrix provided merger and acquisition advisory services to Slidell, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Vance Saunders, CPA, Managing Director; John Duni, CFA, CPA, Vice President; and Kyle Tipping, CFA, Associate.
Brian and Keith Baker commented, “Having been through a few previous acquisitions and dispositions, we selected Matrix based on their structured approach to the sale of our company. Although it was a tough decision to sell, we believe it was the right time for us to exit the industry. Matrix was very professional and executed on an efficient process to achieve our goals and maximize the value of our assets. It was a pleasure working with Vance, John, and Kyle.”
Mr. Saunders added, “The Baker family built an extremely strong company comprised of high-quality assets. We are grateful to have been selected as their advisor to monetize the value created by three generations of their family over the past 70 years. It has been a pleasure working with Brian and Keith and we wish them all the best in their future endeavors.”
Brooks Milling and Chris Gill of Hand Arendall Harrison Sale and Paul Mayronne of Jones Fussell, L.L.P. served as legal counsel to Slidell.
Matrix Announces the Successful Sale of ICAT Logistics, Inc.
RICHMOND, VA / BALTIMORE, MD – December 17, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, is pleased to announce the sale of ICAT Logistics, Inc. (“ICAT” or the “Company”) to an investment group led by KCM Capital Partners LLC (“KCM”), Lightspring Capital Partners (“Lightspring”), and Midwest Mezzanine Funds (“Midwest Mezzanine”). Live Oak Bank provided senior debt financing in support of the transaction.
Founded in 1993, ICAT is a leading agency-based global freight forwarder providing comprehensive transportation and logistics solutions, including the import and export of domestic and international freight by air, ocean or truck, along with customs and compliance management, customs brokerage and other specialty services. The Company’s tagline – “One Call, Right Solution…Done!” – represents the value-added services that ICAT provides to ensure the successful intermodal shipment of goods for more than 1,000 customers each year. Today, the Elkridge, Maryland-based business employs over 40 team members and counts 19 valued agency partners in its network.
Matrix provided merger and acquisition advisory services to ICAT, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by David Shoulders, Managing Director and Head of Matrix’s Consumer & Industrial Investment Banking Group; William O’Flaherty, Director; Matt Oldhouser, CPA, Associate; and Sahan Pandey, Analyst.
Mr. Shoulders noted, “We believe this is an excellent outcome for all parties. ICAT is an incredible business with an unparalleled commitment to its employees and boundless opportunity for growth. We are thrilled for Rick and his new partners and are excited for their continued success.”
Mr. O’Flaherty added, “This marks Matrix’s second logistics M&A transaction of 2021. We remain focused on expanding our industry coverage and expertise to continue providing market-leading advisory services to our clients. We appreciate the trust Rick and his team placed in us and are honored to have assisted in this important advisory assignment.”
Regarding Matrix’s services, Rick Campbell, founder and CEO of ICAT, commented, “I have been impressed with Matrix at every stage in this process. They have shown integrity and professionalism throughout the engagement and I am so grateful for their efforts. I have no doubt they found the best partnership for the Company and our employees.”
Company management, led by Mr. Campbell, built ICAT and its agency system over the last 30 years before deciding to partner with KCM to position the Company for enhanced growth. ICAT will remain under the guidance of the current leadership team, who remain actively invested in the business and will continue to oversee day-to-day operations.
Regarding the transaction, Mr. Campbell, noted, “We are excited to partner with KCM. They share our core values and vision for accelerating the growth of the business, while maintaining the strong relationships with our employees, customers, agency partners and transportation vendors. Since starting the Company, our philosophy has been one of teamwork and transparency, and KCM’s approach is rooted in these same principles. I’m confident they can provide the financial and strategic resources to accomplish our future growth objectives.”
Emmett Mosley, Partner at KCM said, “Rick has built an extremely strong and value-added business model at ICAT, with a differentiated network of agency partners who, alongside the Company’s operations from Baltimore, provide best-in-class customer service and superior freight forwarding solutions on a global basis. Particularly in today’s environment where supply chains face meaningful constraints and headwinds, ICAT has consistently distinguished itself as a creative, reliable and trustworthy partner to its customer base, enabling the successful and expedient shipment of valuable cargo around the world. We look forward to building on ICAT’s strong foundation by providing the resources to accelerate market growth through expansion of the Company’s agency network and strategic acquisitions.”
Derek Ferguson, Partner at KCM, added “We are thrilled to welcome Rick and the ICAT team into the KCM family and appreciate the capital support provided by our partners Lightspring and Midwest Mezzanine in this important transaction. We look forward to executing our strategy together with them and Company management.”
Williams Mullen served as legal counsel for ICAT. Katten Muchin Rosenman LLP served as legal counsel to KCM.
Matrix Announces the Successful Sale of Tri-State Petroleum Corporation
RICHMOND, VA / BALTIMORE, MD – December 16, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Tri-State Petroleum Corporation and its affiliates (“Tri-State” or the “Company”) on the sale of the Company’s 25 company-operated petroleum marketing and convenience retail stores, eight wholesale dealer accounts, and two commercial fuels bulk plants located in the tri-state region of western Pennsylvania, northern West Virginia, and eastern Ohio to Majors Management, LLC and its affiliates.
Tri-State was founded in 1974 by Edward J. Coyne, I and Elizabeth J. Coyne as an Atlantic Richfield distributor of tires, batteries, and automotive accessories. In 1976, the Company began barging fuel oil through its Wheeling, WV terminal and bulk plant facility that served chemical, coal, and other industrial customers throughout the upper Ohio Valley region. In the late 1980s and early 1990s, the Company implemented a strategic plan to expand into retail fuel marketing, by leveraging supply contracts with BP, Exxon, Citgo, and Sunoco, and acquiring two portfolios from BP in the mid-1990s, including company-operated convenience stores and wholesale dealer accounts. The Company continued its path of growth in 2002, when it acquired 18 petroleum marketing and convenience store locations from ExxonMobil Corporation.
Edward and Elizabeth’s children, Colleen McGlinn, Erin Merrick, Sheila Romanek, and Edward Coyne, II, all joined the business during the 1980s and 1990s and still continue to manage the Company in various executive roles today. In 2012, Tri-State entered into a new branded supply agreement with Marathon Petroleum Corporation, rebranding the majority of its petroleum marketing assets, and has subsequently become one of the leading Marathon distributors and convenience retailers in its trade area.
Matrix provided merger and acquisition advisory services to Tri-State, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Spencer Cavalier, CFA, ASA, Co-Head of Matrix’s Downstream Energy & Convenience Retail Investment Banking Group; David Corbett, CFA, Director; Martin McElroy, CFA, Senior Associate and James Mickelinc, CPA, Analyst.
Mrs. McGlinn, Tri-State CEO, commented, “Deciding to work with Matrix was one of the best decisions we made when we decided to move forward with the sale of our business. Their expertise, experience, professionalism, and industry knowledge were invaluable to us throughout a very complex process. They provided thoughtful advice as we made some of the most difficult decisions of our life. We greatly enjoyed working with the entire team at Matrix.”
Mr. Cavalier said, “Two generations of the Coyne family have worked tirelessly for nearly 50 years to build Tri-State into one of the leading petroleum marketers in the eastern Ohio Valley. It was a pleasure working with Colleen, Erin, Sheila, and Ed throughout the process, and an honor to represent the family when they made the important decision to pursue an exit from the business.”
Matrix Announces the Successful Sale of Rusher Oil Company and Rushco Food Stores, Inc.
RICHMOND, VA/BALTIMORE, MD – November 22, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces the successful closing on the sale of the assets of Rusher Oil Company and Rushco Food Stores, Inc. to Sampson-Bladen Oil Co., Inc. and its affiliates. Rusher Oil Company distributed Amoco and BP fuels to 19 branded convenience stores and one commissioned marketer location within a 20-mile radius of its Salisbury, North Carolina headquarters. Rushco Food Stores, Inc. operated 19 branded convenience stores under the name Rushco Markets.
W.H. Rusher and Son, and later Rusher Oil Company, was founded in 1963 by W.H. Rusher after many years as a commission marketing agent with Amoco Oil Company. Rusher Oil Company, under the leadership of Bob L. Rusher reoriented the company towards retail fuel sales, purchasing some of the most desirable real estate in its marketing territory for service stations, and expanded the gasoline marketing side of the business. Bobby Rusher and Joey Rusher joined the business in the 1980s and over the next several years continued to grow by building new-to-industry stores and remodeling older locations into larger facilities. During this time, Rushco Food Stores Inc. was organized and became a successful chain of retail convenience stores and car washes. Today, Rushco Food Stores, Inc., known as Rushco Markets, is one of the leading brands in its marketing territory which includes a network of high-quality convenience stores offering BP and Amoco branded motor fuels.
Sampson-Bladen Oil Company, Inc. was founded in 1936 and now, as a fourth-generation, family-owned enterprise, has grown into a business operating convenience stores, quick serve restaurants, car washes, a wholesale fuel division and a lubricants division. With the purchase of the Rushco Markets, Sampson-Bladen Oil Company’s store count has increased to 109 stores. Haddon M. Clark, president, saw a natural fit with the opportunity to add the Rushco Markets to the footprint. Sampson-Bladen Oil Company operates their stores under the name of Han-Dee Hugo’s.
Matrix provided merger and acquisition advisory services to Rusher, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction. The transaction was managed by Vance Saunders, Managing Director; John Duni, Vice President; and James Mickelinc, Analyst.
The Rusher’s commented, “Selling a business is a difficult decision. Matrix was able to lead us through the process and provide timely advice to help us make the best decision possible.”
Mr. Clark noted, “The Rusher family operated quality stores, and we are honored they selected us to carry on in their communities. I thank all the people that contributed to the smooth transition of the changeover.”
Mr. Saunders added, “Three generations of the Rusher Family have worked hard to create the exceptional business that exists today. We’re honored to have been selected to advise the Rushers on such an important transaction for their family. We wish them all the best in their future endeavors.”
Will Smoak and Wells Hall of Nelson Mullins Riley & Scarborough, LLP served as legal counsel to Rusher. James Oliver of Hatch, Little, and Bunn served as legal counsel to Sampson-Bladen Oil Company.
Matrix Announces the Successful Sale of E.J. Pope & Son, Inc.’s 36 Handy Mart Stores
RICHMOND, VA / BALTIMORE, MD – November 10, 2021 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised E.J. Pope & Son, Inc. d/b/a Handy Mart (“EJP” or the “Company”) on the sale of its 36 petroleum marketing and convenience retail stores to GPM Investments, LLC, a wholly owned subsidiary of ARKO Corp. (Nasdaq: ARKO).
E.J. Pope Coal Company was founded in 1919 as a coal hauling business by horse-drawn wagon. In 1938, the Company added a heating oil distribution division and rebranded as E.J. Pope Coal & Oil Company. The Company entered the motor fuels distribution business in 1957 when E.J. “Buddy” Pope, Jr. purchased the business from his father. In 1975, the Company made the decision to open its first convenience store in Mount Olive, NC, and the Handy Mart store brand was born. Over the next 45 years, and recently under the leadership of E.J. “Judson” Pope III, the Company has grown the Handy Mart brand into a highly recognized regional chain of convenience stores, providing customers across eastern North Carolina with safe and convenient neighborhood stores that provide outstanding service and high-quality convenience options. In 1994, the Company began co-branding stores with nationally recognized foodservice brands in order to enhance the store offerings.
As of the closing, EJP operated 36 stores under the Handy Mart store brand, with approximately 20 branded QSRs or proprietary food offerings co-located at the stores. Additionally, via its sister company, Pope Transport, the Company hauls its own fuel and also acts as a common carrier for other, third-party hauling customers. Pope Transport will be retained by Judson Pope and will continue to haul fuel to the 36 stores for GPM, as well as for its existing customer base.
Matrix provided merger and acquisition advisory services to EJP, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the sale. The transaction was managed by Spencer Cavalier, Co-Head of Matrix’s Downstream Energy & Convenience Retail Group; Sean Dooley, Managing Director; and Kyle Tipping, Associate.
Judson Pope stated, “Given how long of a legacy my family and I have had with this Company, selling was a very difficult decision for me. With the help of a great team around me, we built a first-class operation and many team members will be transitioning to GPM and continuing to provide excellent customer service to our customers throughout eastern North Carolina. While the choice to sell the Company was not an easy one, I have known Spencer, Sean, and the broader Matrix team for over a decade, so selecting them to advise on the sale made the decision that much easier for me. Spencer, Sean, and Kyle did an exceptional job during every step of the transaction. My team and I were very pleased with their professional and thorough advice and tireless effort they put forth throughout the entire process. They have been a pleasure to work with.”
Mr. Cavalier added, “In building the Company into one of the preeminent petroleum marketing, convenience retailing and QSR companies in the country, Judson and his talented team have certainly honored the Pope family legacy, especially Buddy’s. Matrix is grateful for our long-term relationship advising the Company and family. We wish Judson and his team much success as they continue growing their other business enterprises, including Pope Transport.”
Lee Hodge, Clifford Parson, Amy Wang, Joseph DelPapa, and Michael Kohagen of Ward and Smith, P.A. served as legal counsel for E.J. Pope & Son, Inc.