Staff Report
Giant Eagle and its affiliates have sold its WetGo Car Wash, GetGo Café + Market convenience retail and wholesale motor fuels distribution businesses to two separate buyers.
Collectively, the two transactions represent a complete exit for the company from these operations, allowing Giant Eagle to focus on its core supermarket and pharmacy businesses. Matrix Capital Markets Group advised on the sale.
Giant Eagle has sold its portfolio of nearly 270 GetGo Café + Market convenience stores and WetGo car washes located across Pennsylvania, Maryland, Ohio, West Virginia, and Indiana to Alimentation Couche-Tard, Inc., the parent company of Circle K.
In a separate transaction, Giant Eagle also sold its wholesale motor fuels distribution business to Cary Oil Company, Inc. The company’s wholesale motor fuels business distributes BP, Amoco, Phillips 66, Conoco, and Marathon branded motor fuels to more than 80 contract dealer supply accounts in Indiana, Illinois, and Kentucky.
“This was a highly complex transaction, and the team from Matrix proved to be an exceptional advisor every step of the way,” David Burnworth, CFO of Giant Eagle, said in a statement. “Their ability to manage a dynamic and fluid process while providing thoughtful, strategic guidance was key to achieving a successful result for Giant Eagle.”
Giant Eagle opened the first GetGo location in 2003, and over the next two decades grew the banner into an innovative, food-first convenience store experience. As part of the GetGo transaction, Giant Eagle and Couche-Tard have agreed to maintain and partner on the company’s widely popular myPerks loyalty program.
Giant Eagle began distributing branded wholesale motor fuels in December 2018 when it acquired Ricker Oil Company, Inc., and given the legacy of this business, the majority of the company’s dealer supply accounts are concentrated in and around the area of Indianapolis, Indiana.
Matrix provided merger and acquisition advisory services to Giant Eagle, which included valuation advisory, conducting a confidential, structured sale process, and negotiation of the transactions.
“Over the years, it has been exciting to not only watch Giant Eagle grow its GetGo, WetGo, and wholesale motor fuels distribution businesses but to also be part of the story by advising Giant Eagle on multiple occasions,” said Stephen Lynch, CPA, CFA, Managing Director.
“We have always admired Giant Eagle’s incredible operating prowess across all of its business lines and are very grateful to have been given the opportunity to advise them on this series of transactions.”
