Independent convenience store operator Alimentation Couche-Tard has signed an agreement to purchase 53 sites held by American General Investments and North American Financial Group.
Completed through an wholly owned indirect subsidiary of Couche-Tard, financial details of the transaction have not been disclosed by both the companies.
Subject to the standard regulatory approvals and closing conditions, the transaction is scheduled to be closed in the third quarter of Couche-Tard's 2017 fiscal year.
The acquisition will be financed from Couche-Tard's available cash and existing credit facilities.
Couche-Tard US of the Gulf Coast Region operations vice-president Brian Bednarz said: “Subsequent to this transaction, Couche-Tard's network in the Circle K Division of the Gulf Coast Region would include a total of 638 company operated-stores, 8 company owned and dealer operated and 54 dealer owned and operated.
“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 Gulf Division.”
The purchased sites are located primarily in the Baton Rouge market in Louisiana. These stores currently operate under the Cracker Barrel store brand and include 12 quick-service restaurants.
Out of the 53 sites, Couche-Tard would own the land and building for 47 locations, as well as assume or enter into leases for the remaining six locations.
Following this acquisition, all the stores would be rebranded and operated under the Circle K brand by Couche-Tard's US Division of the Gulf Coast Region.