RICHMOND, VA / BALTIMORE, MD – March 19, 2024 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, announces that it has advised Andretti Petroleum Group (“Company”) on the sale of its convenience retail, fuels distribution, cardlock, fleet card, commercial fueling, car wash, lubricants and transportation businesses to H&S Energy, LLC and its affiliates (“H&S”). Andretti Petroleum Group is one of the largest convenience retail and fuels distribution businesses on the West Coast and Pacific Northwest, operating in northern California, Oregon and Washington.

Andretti Petroleum Group was founded in 1997 when racing icons Mario Andretti, Michael Andretti, long-time Andretti advisor John Caponigro, and Texaco executive M.J. Castelo launched a startup Texaco wholesale business in northern California. Mario Andretti had always been enamored with the fuels business after having worked at his uncle’s gas station with his twin brother Aldo just three days after moving from Italy to America at the age of 15. In 1998, the nascent business developed its flagship Texaco facility in downtown San Francisco, which featured an Andretti SpeedMart convenience store, an Andretti Winning Finish car wash, a Burger King, and the first Starbucks integrated into a convenience store.

Over the next 25 years, M.J. Castelo embodied the legendary Andretti competitive spirit and grew the Company to be one of the largest convenience retail and fuels distribution businesses in the West through organic growth and a series of acquisitions. The enterprise completed its first major acquisition in 2001, when it purchased a chain of convenience stores and dealer operations in Monterey County, California. In 2005, the Company expanded further north with the acquisition of Humboldt Petroleum’s 16 company-operated stores. Andretti’s most transformative acquisition occurred in 2017, when it purchased Colvin Oil Company of Grants Pass, Oregon. The Colvin transaction more than doubled the size of the Company and added retail, wholesale, transportation, commercial fuels, and lubricants operations. Over the past few years, the Company continued to expand via acquisition, most notably through the acquisitions of Sheldon Oil and Stein Oil, while also rolling out a comprehensive rebranding effort through its proprietary Pinnacle 365 store brand and proprietary loyalty program. Prior to the sale, Andretti Petroleum Group consisted of nearly 170 convenience retail and fuels distribution assets in California, Oregon, and Washington.

Matrix provided merger and acquisition advisory services to the Company, 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, CPA, CFA, Vice President; John Mickelinc, CFA, Senior Associate; and James Mickelinc, CPA, Associate.

Mr. Castelo, CEO and Managing Member of Andretti Petroleum Group, commented, “We are delighted to transact with H&S Energy as the new steward of our enterprise. Our companies share similar stories, starting with single sites, then growing into formidable players in our industry. This transaction will be a win for all stakeholders. We especially appreciate the great work of Matrix in assisting us with finding the perfect buyer and perfect transaction.”

Sal Hassan, founder and CEO of H&S, stated, “We are honored to take on this great portfolio of retail sites, wholesale distributorship, cardlocks, lubricants, and transportation assets. We believe the people on both ends of this transaction, when put together, will bring great synergies and help take H&S to the next level. Working through this transaction with the help and professionalism of everyone involved made the process smooth and simple. We thank the entire group for their efforts.”

Mr. Fortemps added, “M.J. and the Andretti team have built an incredible business through thoughtful, strategic growth, meticulous execution, and unparalleled passion to be the best across the entire organization. We are honored to have been chosen to advise them on the sale of the exceptionally successful business that they built and know that their successes will continue in their future endeavors—both on and off the racetrack.”

John Caponigro, Hank Wineman, and Gabriella Tringali of Frasco, Caponigro, Wineman, Scheible, Hauser, and Luttmann and Otto Konrad and Kaitlin Cottle of Williams Mullen served as legal counsel for Andretti Petroleum Group.

Robert Sahyan, Michael Leake and Aaron Duffy of Sheppard Mullin, Jeffrey Reuben of Elkins Kalt, and Paula Bailey, General Counsel of H&S Energy served as legal counsel for H&S.

About H&S Energy, LLC
Based in Orange, California, H&S Energy was founded by Sal Hassan in 1996 with one gas station. Sal’s vision was to have larger footprint convenience stores that offered customers a variety of snacks, hot food, fresh coffee, and the cleanest restrooms on the street. His vision grew H&S to more than 160 convenience stores under the Chevron, Texaco, Shell, and 76 fuel brands. H&S operates its convenience stores under the ExtraMile banner and under its own proprietary brand, Power Market.