Couche-Tard has plans to continue the expansion of it’s European footprint with the acquisition of 23 sites in Europe.
Alimentation Couche-Tard Inc., through its wholly-owned subsidiary Circle K Eesti AS, has signed an agreement to purchase the majority of the assets operated under the Premium 7 brand from Sevenoil Est OÜ and its affiliates. The transaction, which is subject to standard regulatory approvals and closing conditions, is expected to close during the second quarter of Couche-Tard’s fiscal year 2017.
The Premium 7 assets that are being purchased are comprised of 23 sites, including 11 full service fuel stations with convenience stores and 12 automated fuel stations. The acquisition will be financed from Couche-Tard’s available cash and existing credit facilities. The parties have agreed not to disclose the purchase price for this acquisition.
Couche-Tard would buy the land and buildings for 23 locations. Following the acquisition, all the sites would be operated under the Statoil brand and within a year rebranded and operated under the Circle K brand by Couche‑Tard’s Estonian business unit.
“This acquisition would be a great addition to Couche-Tard’s expansion and growth plans in Europe. Having just added Ireland to our European network and expanded our footprint in Scandinavia with Shell’s retail network in Denmark, Couche-Tard’s declaration in 2012 is becoming a reality: Circle K Europe (formerly Statoil Fuel & Retail AS) is our platform for growth in Europe,” said Jacob Schram, group president Europe, Couche-Tard.
“Subsequent to this transaction, Couche-Tard’s network in Estonia would grow by 40% and would total 77 company operated-stores and fuel stations. These sites occupy strategic locations within their respective trade areas. This acquisition would be a great complement to our existing network in the Estonian fuel market,” commented Jørn Madsen, executive vice president Central & Eastern Europe & Ireland, Circle K Europe.