LAVAL, QC, March 16, 2015 /CNW Telbec/ - Alimentation Couche-Tard Inc.
("Couche-Tard") (TSX: ATD.A/ATD.B) announces today that it has signed, through its
wholly-owned indirect subsidiary, Circle K Stores Inc., an agreement
with Cinco J, Inc. (doing business as Johnson Oil Company), Tiger Tote
Food Stores and their affiliates to acquire 21 stores, 151 dealer fuel
supply agreements and five development properties. The 21 stores and
development properties are located in the State of Texas whereas the
151 dealer fuel supply agreements are located in the States of Texas,
Mississippi and Louisiana. The transaction is anticipated to close by
the end of Couche-Tard's first fiscal quarter which ends July 19, 2015,
and is subject to standard regulatory approvals and closing conditions.
The parties have signed a confidentiality agreement precluding the
parties from disclosing the purchase price for this acquisition at this
time. Available cash dollars will pay for the transaction.
These convenience stores operate under the store brands "The Tote" and "Tiger Tote" and offer Exxon and Chevron branded motor fuels, whereas the branded dealer business offers Chevron, Shell, Texaco, Valero, Exxon and Citgo fuel brands. As a result of the transaction, Couche-Tard plans on
keeping the existing fuel brands and would buy the land and buildings
for 18 locations and would assume or enter into a lease for the three
remaining locations. Following the acquisition, all of the stores would
be operated under the Circle K brand by Couche-Tard's Southwest Division.
"Subsequent to this transaction, Couche-Tard's network in the Circle K
Southwest Division would include a total of 335 company operated-stores
and 67 locations under wholesale or franchise agreement. These stores
occupy strategic locations within their respective trade areas. This
acquisition would be a great addition to Couche-Tard's expansion and
growth plans for the Southwest Division." commented Kelly McGuire,
Vice-President Operations, Southwest Division.
Couche-Tard is the leader in the Canadian convenience store industry. In
the United States, it is the largest independent convenience store
operator in terms of number of company-operated stores. In Europe,
Couche-Tard is a leader in convenience store and road transportation
fuel in Scandinavian and Baltic countries while it has a significant
presence in Poland.
As of October 12, 2014, Couche-Tard's network comprised 6,303
convenience stores throughout North America, including 4,851 stores
with road transportation fuel dispensing. Its North-American network
consists of 13 business units, including nine in the United States
covering 40 states and four in Canada covering all ten provinces. More
than 60,000 people are employed throughout its network and at the
service offices in North America.
In Europe, Couche-Tard operates a broad retail network across
Scandinavia (Norway, Sweden, Denmark), Poland, the Baltics (Estonia,
Latvia, Lithuania) and Russia, which comprised 2,239 stores as of
October 12, 2014, the majority of which offer road transportation fuel
and convenience products while the others are unmanned automated
service-stations which offer road transportation fuel only. The
Corporation also offers other products, including stationary energy,
marine fuel, aviation fuel, lubricants and chemicals. Couche-Tard
operates key fuel terminals and fuel depots in eight countries.
Including employees at Statoil branded franchise stations, about 17,500
people work in its retail network, terminals and service office across
In addition, about 4,600 stores are operated by independent operators
under the Circle K banner in 12 other countries or regions worldwide
(China, Guam, Honduras, Hong Kong, Indonesia, Japan, Macau, Malaysia,
Mexico, the Philippines, the United Arab Emirates and Vietnam) which
brings to more than 13,100 the number of sites in our network.
For more information, please visit: http://corpo.couche-tard.com/en
The statements set forth in this press release, which describes
Couche-Tard's objectives, projections, estimates, expectations or
forecasts, may constitute forward-looking statements within the meaning
of securities legislation. Positive or negative verbs such as
"believe", "could", "should", "intend", "expect", "estimate", "assume"
and other related expressions are used to identify such statements.
Couche-Tard would like to point out that, by their very nature,
forward-looking statements involve risks and uncertainties such that
its results, or the measures it adopts, could differ materially from
those indicated or underlying these statements, or could have an impact
on the degree of realization of a particular projection. Major factors
that may lead to a material difference between Couche-Tard's actual
results and the projections or expectations set forth in the
forward-looking statements include the effects of the integration of
acquired businesses and the ability to achieve projected synergies,
fluctuations in margins on motor fuel sales, competition in the
convenience store and retail motor fuel industries, exchange rate
variations, and such other risks as described in detail from time to
time in the reports filed by Couche-Tard with securities authorities in
Canada and the United States. Unless otherwise required by applicable
securities laws, Couche-Tard disclaims any intention or obligation to
update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise. The forward-looking
information in this release is based on information available as of the
date of the release.
SOURCE Alimentation Couche-Tard Inc.
For further information:
Raymond Paré, Vice President and Chief Financial Officer
Tel: (450) 662-6632 extension 4607