Global Partners LP Expands Convenience Store Purchases

Introduction

Global Partners LP, a fast-growing company, is set to make convenience store purchases in several states in the Southeastern region of the United States. With the recent acquisition of 25 terminals from Motiva Enterprises, the company now has an expanded wholesale presence in North and South Carolina, Georgia, Alabama, Louisiana, Mississippi, Florida, and Texas. This move allows Global to leverage its additional 8.4 million bbl of mostly gasoline and diesel storage in the Southeast and throughout the Gulf Coast.

Focus on Chain Sites

Global's CEO, Eric Slifka, stated that the company will prioritize chain sites serviced by the newly acquired terminals. Currently, Global has a retail reach from Maine through Virginia, with a presence in Houston through a joint venture with ExxonMobil. By expanding its retail presence in Texas and the Southeastern states, Global aims to strengthen its position as a leading player in the convenience store market.

Strengthening Supplier Relationships

Motiva Enterprises is one of many refiners that supply fuel to Global. With this acquisition, Global is expected to become a more aggressive unbranded supplier in the Southeastern region. This move demonstrates Global's commitment to enhancing its supplier relationships and expanding its market share in the region.

In conclusion, Global Partners LP's strategic purchase of 25 terminals from Motiva Enterprises allows the company to pursue convenience store acquisitions in several Southeastern states. By leveraging its expanded wholesale presence and storage capacity, Global aims to solidify its position as a major player in the convenience store industry in this region.

Motiva Terminals Acquisition

Motiva is acquiring a number of terminals across the United States, which do not have any significant overlap with existing Global facilities or the five Gulf terminals that will be acquired by the end of the year. These terminals are strategically located from north to south, encompassing various cities and states.

North to South Terminal Locations

1. Baltimore, Maryland
   • Multiple facilities listed
2. Fairfax and Richmond, Virginia
3. Charlotte, Greensboro, Apex, and Fayetteville, North Carolina
   • Multiple facilities listed
4. Spartanburg, South Carolina
5. Bainbridge and Doraville, Georgia
   • Multiple facilities listed for Doraville
6. Tampa and Port Everglades, Florida
   • Multiple facilities listed for Port Everglades
7. Beaumont, Pasadena, Fort Worth, Dallas, San Antonio, and Waco, Texas

Expanding Opportunities for Global

Global, currently operating as a gasoline blender in New York Harbor, stands to benefit from the additional outlet provided by the Motiva terminal acquisition. This expansion could potentially pave the way for Global to establish a blending operation on the Gulf Coast, if it proves to be a viable move. Furthermore, Global already engages in spot barrel trading FOB the Gulf Coast and could become an even more significant player in incremental markets once the terminal sale is finalized.