Situation
Superior Plus Corp. (TSX:SPB) is one of the largest distributors of propane, refined fuels, compressed natural gas, and renewable energy solutions across North America, servicing over 930,000 residential and commercial customers throughout the United States and Canada.

One of the Company’s subsidiaries, Superior Plus Energy Services Inc. (“Superior” or the “Company”), operates a substantial propane and refined fuels distribution network in the United States.

The Company’s heating oil and refined fuels operations in the northeast were comprised of a large network of distribution and logistics assets with critical mass in three distinct markets: (i) New York, (ii) Pennsylvania, and (iii) Southern New England. In total, these three markets serviced over 32,000 residential and commercial customers through 30+ bulk storage facilities (the “Business”).

Matrix was initially retained to perform a strategic review of each geographic market, and the entire Business, in order to explore various potential exit options.

The Company’s Board of Directors and management team ultimately decided to divest all three geographic markets in order to redeploy the capital into other areas within the Superior Plus Corp. organization.

Objective
To customize, execute, and complete a confidential sale process that would allow the Company to realize maximum value for the assets.

Solution
Matrix provided merger and acquisition advisory services to Superior, which included valuation advisory, marketing of the Business through a confidential, structured sale process, and negotiation of the transaction.

The sale process included a buyer pool of privately owned, regional and national heating oil and refined fuels distributors; large, public companies; and a select pool of private equity-backed fuels distributors. Matrix executed a customized sale process to solicit offers for the entire Business as well as each separate geographic market to determine the best path for maximizing value.

Multiple offers were received, and ultimately it was determined that maximum value for the Business, and greatest deal certainty, could be achieved by selling all three markets to one buyer.

Matrix assisted in the negotiation of the purchase agreement, a transition services agreement, multiple shared site agreements, and coordinated the due diligence process and closing.

The transaction with Mirabito Holdings, Inc. (“Mirabito”) closed in October 2023.