Jay Petroleum Inc. which owns and operates 35 Pak-A-Sak convenience stores in Northern Indiana and Northwest Ohio, has purchased a majority of the assets of Ottawa, Ohio-based Ottawa Oil Co. Inc.
The purchase includes fuel transportation, dealer sites, consignment sites and 22 Party Mart convenience stores.
According to Ron Freeman, who is retiring at the end of December following 23 years as Jay Petroleum’s president, the acquisition has been in the works since January, but due to COVID-19, the process has taken much longer than expected.
Incoming Jay Petroleum President Kevin Huffman highlighted the strategic alignment between the two companies.
“The acquisition of Ottawa Oil Co. is a milestone in our 61-year history,” he said, “and expands our retail footprint to 57 convenience stores throughout Northern Indiana and Ohio.”
Ottawa Oil Co. was founded in 1959 with two gasoline stations and two bulk routes that delivered fuel to homes and farms. It began operating convenience stores in 1982 under the Party Mart brand, which includes foodservice operations such as Subway, Hunts Brothers Pizza and proprietary deli sandwiches.
“We are profoundly grateful to our employees and the communities we have had the pleasure to serve,” said Janel Kruse, General Manager of Ottawa Oil Co. “Jay Petroleum’s track record for serving communities and history as an employee-owned company were very important factors in our selection of them.”
Jay Petroleum was also founded in 1959 by James “Jim” Peterson. Throughout its 61-year history it has followed the traditional petroleum jobber model of fuel transportation, bulk lubricants, TBA and dealer operations. However, for the past 30-plus years, the company’s primary focus has been on the growth of its convenience store presence through Pak-A-Sak. The 35-store chain has a strong foodservice emphasis through brands such as Subway, Taco Bell and Papa John’s Pizza.
Jay Petroleum, which is an ESOP (Employee Stock Ownership Plan), will now have a combined employee team of over 725 individuals.