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CrossAmerica Partners and Applegreen Announce the Closing of Agreement
ALLENTOWN, PA (October 1, 2019) – CrossAmerica Partners LP (NYSE: CAPL) announced today that it has closed on the previously announced agreement with Applegreen plc (AIM/ESM: APGN) for the global roadside convenience retailer to operate 46 company operated retail sites in the U.S. Upper Midwest.
As part of this agreement, CrossAmerica will retain the sites and has entered into a master fuel supply and master lease contracts with Applegreen. With the completion of this transaction, CrossAmerica will now be solely focused on its wholesale operations.
Gerardo Valencia, CEO and President of CrossAmerica, stated, “This is a significant milestone to simplify our business focusing on our strengths, and expanding our collaboration with a world class convenience retail operator to continue to deliver value to our customers and unitholders.”
CrossAmerica expects this transaction to be accretive to distributable cash flow to its limited partners and anticipates providing further details with its third quarter 2019 earnings report.
About CrossAmerica Partners LP
CrossAmerica Partners is a leading wholesale distributor of motor fuels and owner and lessor of real estate used in the retail distribution of motor fuels. Its general partner, CrossAmerica GP LLC, is a wholly owned subsidiary of Alimentation Couche-Tard Inc. Formed in 2012, CrossAmerica Partners LP is a distributor of branded and unbranded petroleum for motor vehicles in the United States and distributes fuel to approximately 1,300 locations and owns or leases over 1,000 sites. With a geographic footprint covering 34 states, the Partnership has well-established relationships with several major oil brands, including ExxonMobil, BP, Shell, Chevron, Sunoco, Valero, Gulf, Citgo, Marathon and Phillips 66. CrossAmerica Partners ranks as one of ExxonMobil's largest distributors by fuel volume in the United States and in the top 10 for additional brands. For additional information, please visit www.crossamericapartners.com.
Applegreen is a convenience food and beverage retailer and operator of petrol forecourts and motorway service areas with a major presence in the Republic of Ireland, the United Kingdom and the USA. The Group has 472 sites as of December 31, 2018, across the Republic of Ireland (193 sites), United Kingdom (158 sites) and United States (121 sites) and has 10,700 employees. Applegreen is the number one Motorway Service Area operator in the Republic of Ireland and the number two Motorway Service Area operator in the United Kingdom.
Forward Looking Statement
Statements contained in this release that state the Partnership’s or management's expectations or predictions of the future are forward-looking statements. The words "believe," "expect," "should," "intends," "estimates," "target," "plan" and other similar expressions identify forward-looking statements. It is important to note that actual results could differ materially from those projected in such forward-looking statements. For more information concerning factors that could cause actual results to differ from those expressed or forecasted, see CrossAmerica's Forms 10-Q or Form 10-K filed with the Securities and Exchange Commission and available on CrossAmerica's website at www.crossamericapartners.com. The Partnership undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events or otherwise.
Contact – Evan Smith, Chief Financial Officer, 210-742-8314