Transaction
Carolina Convenience Corporation
Transaction Details
Client:
Carolina Convenience Corporation
Location:
Industry:
Buyer:
Transaction Type:
M&A Advisory
Close Date:
Situation
Carolina Convenience Corporation (“CCC” or the “Company”), headquartered in Lexington, SC, operated eight S-Mart branded convenience stores in Columbia, SC, supplied approximately 30 open dealer accounts through its wholesale fuels distribution business, and directly operated five Hardee’s restaurants.
The S-Mart convenience stores sold BP and Exxon branded motor fuels, and the Company was also a Sunoco jobber for its dealer portfolio. Two of the Company’s stores were co-branded with Hardee’s restaurants operated by CCC.
The Company’s shareholders sought to exit the convenience store and petroleum marketing business to diversify their wealth and focus on growing their Hardee’s restaurant business and other ventures.
Matrix was retained to perform a valuation of the Company’s entire asset base, including the Hardee’s operations, and to advise on potential sale process scenarios. Ultimately, the Company decided to retain the Hardee’s assets and divest the convenience store and dealer assets.
Objective
To customize, execute, and complete a confidential sale process in a way that would allow the shareholders to realize maximum after-tax value upon the sale of the petroleum marketing and convenience store assets
Solution
Matrix provided merger and acquisition advisory services to CCC, which included valuation advisory, marketing the Company through a confidential, structured sale process, and negotiation of the transaction.
Multiple competitive offers were received, and ultimately Applegreen plc (“Applegreen”), an affiliate of Dublin, Ireland based Petrogas Global Ltd., was selected as the buyer.
Matrix assisted in the negotiation of the asset purchase agreement, coordinated the due diligence process, and structured proposed lease terms for one location where the Company would continue to operate a Hardee’s restaurant on the convenience store property.
The transaction with Applegreen closed in August 2018.