Refuel Convenes Talks on Potential $1.5 Billion Sale

A US convenience store operator is reportedly exploring a potential sale of its business, valued at over $1.5 billion, including debt. Refuel, which operates approximately 230 stores across the United States, particularly in the Carolinas and other states such as Mississippi, Arkansas, and Texas, has initiated talks with investment banks to initiate a sale process.

According to sources familiar with the matter, private-equity firm First Reserve, which acquired Refuel in 2019, is leading the discussion. The operation is reportedly set to take place during the first half of 2025.

Several potential buyers have been named, including other major convenience-store operators and buyout firms. However, discussions are still in their early stages, and no deal has been confirmed.

This development comes as the convenience-store industry continues to consolidate. In recent months, several reports have emerged about major deals in the sector. For instance, Reuters recently reported that Arko was seeking to sell its convenience-store operations for a staggering $2 billion. Similarly, Sunoco had agreed to sell 204 stores to 7-Eleven in a deal worth $1 billion.

The sale of Refuel's business would be another notable consolidation move in the industry. The company operates one of the largest convenience store networks in the country, and its potential sale could have significant implications for the sector.

Investment bankers are being employed by First Reserve to lead this process. As talks progress, it is possible that key stakeholders involved may wish to negotiate the terms of any proposed deal.

Sources close to the discussions at Refuel underscored that a final decision would hinge on a range of factors, including market conditions and various other priorities associated with potential buyers.

For now, concerns surrounding ongoing industry trends have cast an interesting shadow over the company's strategic outlook.