- 26 Sep
Sale of Sunoco stations bound to impact fuel price management strategies
On April 30 of this year when Energy Transfer Partners announced they were acquiring Sunoco, it left the fate of Sunoco’s 4,900 c-stores uncertain. Analysts speculate ETP will sell the 4,900 stores because the stores don’t fit well with the rest of the ETP assets.
In a Convenience Store News article today, there is a list of possible acquirers. Below is the list, with the number of stores they currently operate.
- Wawa: 599
- Marathon Petroleum: 2,670 stores
- The Pantry: 1,615
- Alimentation Couche-Tard: 3,585 stores
- Global Partners: 1,000 stores
It is immediately apparent from this list that should any of the above companies acquire all the Sunoco stores, it would be a dramatic growth in their business, essentially a minnow swallowing a whale. Even c-store giant 7-11 with their 7,341 stores would see a store count increase of over 60%. Perhaps a more likely scenario is the 4,900 Sunoco stores will be splintered and sold off in chunks.
It will be interesting to follow this story as it develops. But one certainty is this: the fuel price management market and strategies where these Sunoco stores operate are destined to be different after any sort of acquisition.