Casey’s General Stores continues to grow its retail portfolio through acquisitions.
The convenience store chain has entered into an agreement to acquire 40 Pilot convenience stores in Kentucky and Tennessee from Pilot Corp. in an all-cash transaction for $220 million. Casey’s said the stores will extend its presence in those states with well-established locations primarily in the attractive Knoxville, Tennessee, market.
The acquisition is part of Casey’s three-year strategic plan, announced in January 2020, to add 345 stores to the chain. In May, the company expanded its Midwest footprint with the completion of its deal to acquire 94 Bucky’s convenience stores from Buchanan Energy. Casey’s has grown to become the third-largest U.S. convenience store retailer, with more than 2,300 locations.
“These stores [Pilot] have a track record of strong performance, and are high-quality assets that will be a great fit for Casey’s fresh food program, especially our handmade pizza,” said Darren Rebelez, president and CEO, Casey’s. “We look forward to carrying forward these Haslam family legacy stores and welcoming their team into the Casey’s family.”
Pilot Company has grown its network to more than 800 retail and fueling locations. Its Pilot Flying J Travel Center network includes more than 750 locations in 44 states and six Canadian provinces with more than 680 restaurants, 74,000 truck parking spaces, 5,300 deluxe showers and 6,200 diesel lanes. Pilot’s convenience stores are owned and operated independently from its travel center and energy businesses.
“Casey’s is a great convenience store chain that shares similar values as Pilot and we couldn’t be more excited for what they will bring to the community,” said Pilot company chairman Jimmy Haslam. “The company will continue our intense focus on growing our core travel center network and energy businesses with significant investments in our people and our stores to provide the best team member and guest experience at our more than 800 locations across North America.”
BofA Securities, Inc. acted as exclusive financial advisor to Pilot Corp.