Deal marks the second for United Fuel in the last 60 days.
Ocean Petroleum, Inc. has divested its entire branded and unbranded dealer supply business as part of a strategic business reorganization.
Included in the transaction are both CITGO and Valero dealer supply relationships located throughout southeast Georgia. This transaction marks the second dealer supply business acquisition for United Fuel LLC in the past 60 days.
Originally established in 1973 in Macon, Ga. as OSAN Petroleum by Walter and Jack Oswald, the business subsequently expanded into Brunswick, Jesup and Nahunta, Ga. In 2008, the Brunswick operation converted to Ocean Petroleum, managed by Ashley Oswald Davis, granddaughter of one of the original founders.
“After conducting a comprehensive business assessment in the summer of last year, we determined that our primary focus should be on the commercial side of our business. From this assessment, we created and implemented a strategic reorganization plan that included the divestiture of our dealer business,” said Davis. “We look forward to receiving our official designation as a Women-Owned Small Business and are confident that continued implementation of our focused plan will help insure that our business successfully transcends to another generation of our family.”
The sale allows the Georgia marketer to further expand its established CITGO and Valero dealer network and extend southward in the Georgia market. “This new acquisition adds another piece to our long term dealer business growth strategy. We look forward to serving these new customers and delivering the same level of support that they enjoyed over the years with Ocean Petroleum,” said Bunty Doshi, president of United Fuel.
PetroActive Real Estate Services LLC provided advisory services to Ocean Petroleum for both its strategic plan development and for the divestiture of the dealer business.
“The downstream oil business has become so competitive that traditional marketers need to pragmatically assess their businesses to determine their core competencies. Then focus their attention and resources to grow that part of the business, said Mark Radosevich, president of PetroActive Services. “Ashley did this with her company and is successfully working her plan. Ocean is now in a better position to succeed.”
Frank Callaway provided legal representation to Ocean Petroleum and closed the transaction. Murphy Business and Financial Services, LLC provided advisory services to United Fuel.