Western Refining seeks to acquire 260 c-store locations by purchasing Northern Tier Energy.
Western Refining has announced plans to acquire Northern Tier Energy (NTI), and the company is now seeking financial means to complete the transaction.
A report, published May 18 by the El Paso Times, revealed that Western Refining have requested funds from several lenders for an amount totaling $500 million to help pay for the proposed $1.6 billion acquisition. Jeff Stevens, CEO of Western Refining, along with other company officials, met with bankers to secure loans from multiple lenders.
Northern Tier’s unitholders are scheduled to vote on the approval of the transaction on June 23, according to El Paso Times. Western Refining already owns a controlling interest in NTI, which the company purchased for $775 million in 2013, and the company proposed purchasing the remaining interest in the company in October 2015.
NTI, which is headquartered in the Phoenix area, currently operates a Minnesota oil refinery, along with a chain of more than 260 SuperAmerica convenience stores, the majority of which are located in Minnesota and Wisconsin.
Western Refinery currently operates oil refineries in El Paso and Gallup, N.M., along with a chain of more than 260 convenience stores in Texas, New Mexico, Arizona and Colorado. The majority of Western’s convenience stores operate under the Giant and Howdy’s brands.
