Situation
Monfort Companies (“Monfort” or the “Company”) is a diversified investment manager with a portfolio of assets across real estate, energy, entertainment, and other high growth industries.

In 2013, the Company broadened its holdings with its first investment in convenience retail by acquiring several convenience stores in Denver, Colorado. Over the next decade, Monfort aggressively grew its company-operated store footprint, acquiring select 7-Eleven locations in Texas, Murphy USA sites in Minnesota, Speedway and Dino Stop stores in Wisconsin, Jack’s Convenience Stores in Texas, and the Chisholm Corner stores in Oklahoma.

Eventually, Monfort grew its convenience store portfolio to nearly 80 sites across multiple states, some of which included adjacent operations such as car washes, quick lube shops, and QSRs.

Matrix was retained to perform a valuation of the convenience store portfolio, including the possibility of a sale of each geographic division to separate buyers. As Monfort had executed sale-leaseback financing on each portfolio, all locations required extensive review and evaluation of the individual and master lease agreements.

Ultimately, the shareholders decided to exit the convenience retail business to return capital to shareholders and to reinvest proceeds in new ventures.

Objective
To customize, execute, and complete a confidential sale process in a way that would allow the shareholders to realize maximum after-tax value from the sale of the stores.

Solution
Matrix provided merger and acquisition advisory services, which included valuation advisory, marketing of the stores through multiple confidential, structured sale processes, and negotiation of the transactions with several unique buyers.

Matrix valued each geographic division of the Company separately based on store level economics and the pool of potential buyers that would likely compete for the stores in each region.

The sale process included local, regional, and national convenience store operators.

Matrix executed a customized sale process to solicit offers for the entire portfolio of stores and for each geographic division on a standalone basis.

Multiple competitive offers were received, and it was determined that maximum value could be achieved by selling the stores in four separate transactions: West Texas locations to Kent Kwik; Colorado stores to 7-Eleven; Wisconsin & Minnesota sites to Azan Petro; and the Oklahoma locations to Diamond Jubilee. The Transactions closed between late 2023 through early 2026.