Speedway being spun off; will be 3,900-store c-store powerhouse
Marathon Petroleum Corp. is spinning off its Speedway retail network into an independent, publicly-traded company.
The move follows a review from Marathon’s board of directors and engagement with financial and other advisors. The company also gathered shareholder feedback.
"As a result of that review, today we announced our most recent step to create shareholder value and that is our intent to separate Speedway into an independent company," said Marathon CEO and chairman Gary Heminger. "The board and our management is fully committed to pursuing the path that maximizes shareholder value, and we believe this separation will create two strong, industry-leading companies well positioned for long-term growth and success."
Under the plan, the new Speedway will consist of Marathon’s 3,900 company-owned and company-operated convenience stores. Upon completion of the spin-off, expected to be completed by the end of 2020, Speedway will be the largest U.S.-listed convenience store operator "boasting a coast-to-coast retail network and a nationally recognized brand," Heminger said during the company's third-quarter earnings call on Oct. 31.
"We believe this business has strong growth potential, fueled by a strong, loyal customer base," Heminger explained.