On the heels of the biggest deal in its history, Canada’s Alimentation Couche-Tard Inc. has entered into yet another deal to expand its U.S. footprint.
The retailer has signed an agreement to buy 53 stores in Louisiana, primarily in the Baton Rouge market, from American General Investments and North American Financial Group for an undisclosed price.
The stores currently operate under the Cracker Barrel banner, and include 12 quick-service restaurants. Of the 53 sites, Couche-Tard would own the land and building for 47 locations and would assume or enter into leases for the remaining six locations.
The transaction is being handled through Couche-Tard’s Circle K division. It is subject to the standard regulatory approvals and closing conditions. 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.
"Subsequent to this transaction, Couche-Tard's network in the Circle K Division of the Gulf Coast Region would include a total of 638 company operated-stores, eight company owned and dealer operated and 54 dealer owned and operated. These stores occupy strategic locations within their respective trade areas. This acquisition would be a great addition to Couche-Tard's expansion and growth plans for the Gulf Division," said Brian Bednarz, VP operations, U.S. division of the Gulf Coast Region. Last week
, Couche-Tard entered into a $3.8 billion deal to acquire CST Brands, which is headquartered in San Antonio and has more than 2,000 stores in the U.S. and Eastern Canada.
Couche-Tard is the leader in the Canadian convenience store industry, and is the largest independent convenience store operator in the United States in terms of number of company-operated stores.