Speedway’s footprint expanded today when the company announced the acquisition of about 80 additional stores held by Petr-All Petroleum Consulting Corporation.
Speedway, based in Enon, is a major employer in Clark County and already operates about 2,740 convenience stores in 21 states. The new stores are now marketed under the Express Mart brand and are located in the Syracuse, Rochester and Buffalo markets in New York. Those stores will be rebranded to Speedway.
“This acquisition is a great strategic fit for Speedway, and consistent with our growth plan,” said Speedway President Tony Kenney in a news release. “These stores will enhance our existing network and expand our brand presence in a key growth market for Speedway.”
Speedway is a subsidiary of Marathon Petroleum Corp. based in Findlay, Ohio. The deal is expected to close in the third quarter this year.
Speedway has grown significantly in just the past few years. In 2015, Speedway’s $2.8 billion acquisition of Hess nearly doubled the size of the Enon-based gas station and convenience store chain. At that time, Speedway already operated about 1,500 stores in nine states, but the Hess acquisition expanded the company’s reach to more than 2,700 stores throughout the Midwest and East Coast.
The financial terms of the latest acquisition of the Express Mart stores was not disclosed. Speedway has about 1,350 employees in Clark County and 33,820 workers nationally.
In an interview with the News-Sun late last year, Kenney said the chain was poised for additional growth after its parent company rejected a proposal to spin off the retailer.
“Our objective is growth,” Kenney told the News-Sun in November last year. “That was one of the important aspects of the decision that was made. The evaluation of the spin-off was Speedway was going to continue to be an important part of Marathon and a growth part of Marathon. We’re looking for additional growth opportunities, both working organizationally and through acquisition opportunities. That’s going to be an important part of our strategy going forward.”
Marathon created a special committee last year to review the Speedway chain with the help of an independent financial adviser. The company had been under pressure to consider a spin-off after hedge fund Elliot Management Corp., one of the company’s largest shareholders, argued that Marathon’s stock was undervalued.
But after a a lengthy review, Marathon’s board unanimously voted to keep Speedway under Marathon’s umbrella.
Thank you for reading the Springfield News-Sun and for supporting local journalism. Subscribers: log in for access to your daily ePaper and premium newsletters.
Thank you for supporting in-depth local journalism with your subscription to the Springfield News-Sun. Get more news when you want it with email newsletters just for subscribers. Sign up here.