HOUSTON, Aug. 18, 2015 /PRNewswire/ -- Sunoco LP
(NYSE: SUN) announced today that one of its wholly owned
subsidiaries has entered into an agreement to purchase a wholesale
motor fuel distribution business serving the Northeastern United States for approximately
$57 million plus the value of
inventory on hand at the time of closing.
The business distributes approximately 55 million gallons a year
of branded and unbranded gasolines, including Sunoco-branded
fuels. As part of the transaction, SUN's subsidiary will also
acquire 30 fee and leased properties -- including company-owned,
dealer-operated and consignment sites -- as well as supply
contracts with dealer-owned and operated sites.
The purchase will complement SUN's existing wholesale fuel
distribution business in the Northeastern U.S. SUN plans to
integrate the new business quickly and efficiently into its
extensive fuel distribution network currently serving 30 states.
The transaction is expected to be immediately accretive to
SUN with respect to distributable cash flow.
The transaction is expected to close in the fourth quarter,
subject to customary closing conditions, and will be funded using
amounts available under SUN's revolving credit facility.
About Sunoco LP
Sunoco LP (NYSE: SUN) is a master limited partnership (MLP) that
operates more than 830 convenience stores and retail fuel sites and
also distributes motor fuel to convenience stores, independent
dealers, commercial customers and distributors. SUN conducts
its business through wholly owned subsidiaries, as well as through
its 31.58 percent interest in Sunoco, LLC, in partnership with an
affiliate of its parent company, Energy Transfer Partners, L.P.
(NYSE:ETP). While primarily engaged in natural gas, natural gas
liquids, crude oil and refined products transportation, ETP also
operates a retail and fuel distribution business through its
interest in Sunoco, LLC, as well as wholly owned subsidiary,
Sunoco, Inc., which operate approximately 440 convenience stores
and retail fuel sites. For more information, visit the Sunoco LP
website at www.SunocoLP.com.
Forward-Looking Statements
This news release contains "forward-looking statements" which
may describe SUN's objectives, expected results of operations,
targets, plans, strategies, costs, anticipated capital
expenditures, potential acquisitions, new store openings and/or new
dealer locations, management's expectations, beliefs or goals
regarding proposed transactions between ETP and SUN, the expected
timing of those transactions and the future financial and/or
operating impact of those transactions, including the anticipated
integration process and any related benefits, opportunities or
synergies. These statements are based on current plans,
expectations and projections and involve a number of risks and
uncertainties that could cause actual results and events to vary
materially, including but not limited to: execution, integration,
environmental and other risks related to acquisitions (including
the Susser drop-down, and future drop-downs) and our overall
acquisition strategy; competitive pressures from convenience
stores, gasoline stations, other non-traditional retailers and
other wholesale fuel distributors located in SUN's and Sunoco,
LLC's markets; dangers inherent in storing and transporting motor
fuel; SUN's or Sunoco, LLC's ability to renew or renegotiate
long-term distribution contracts with customers; changes in the
price of and demand for motor fuel; changing consumer preferences
for alternative fuel sources or improvement in fuel efficiency;
competition in the wholesale motor fuel distribution industry;
seasonal trends; severe or unfavorable weather conditions;
increased costs; environmental laws and regulations; dangers
inherent in the storage of motor fuel; reliance on suppliers to
provide trade credit terms to adequately fund ongoing operations;
acts of war and terrorism; dependence on information technology
systems; SUN's and ETP's ability to consummate any proposed
transactions, or to satisfy the conditions precedent to the
consummation of such transactions; successful development and
execution of integration plans; ability to realize anticipated
synergies or cost-savings and the potential impact of the
transactions on employee, supplier, customer and competitor
relationships; and other unforeseen factors. For a full discussion
of these and other risks and uncertainties, refer to the "Risk
Factors" section of SUN's and ETP's most recently filed annual
reports on Form 10-K and quarterly report on 10-Q for the quarter
ending March 31, 2015. These
forward-looking statements are based on and include our estimates
as of the date hereof. Subsequent events and market developments
could cause our estimates to change. While we may elect to update
these forward-looking statements at some point in the future, we
specifically disclaim any obligation to do so, even if new
information becomes available, except as may be required by
applicable law.
Investor
Contacts
|
Media
Contacts
|
|
|
Scott
Grischow
|
Jeff
Shields
|
Director of Investor
Relations and
Treasury
|
Communications
Manager
|
361-884-2463,
scott.grischow@sunoco.com
|
215-977-6056,
jpshields@sunocoinc.com
|
|
|
Anne
Pearson
|
Jessica
Davila-Burnett
|
Dennard-Lascar
Associates
|
Public Relations
Director
|
210-408-6321,
apearson@dennardlascar.com
|
361-654-4882,
jessica.davila-burnett@sunoco.com
|
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SOURCE Sunoco LP