7-Eleven re-enters San Antonio with TETCO acquisition; announces spin-off of 30 Wilson Farms
Dallas -- 7-Eleven said Tuesday it will acquire the retail and wholesale assets of San Antonio-based TETCO, which includes company-operated convenience stores in Utah and the Dallas-Fort Worth, Austin and San Antonio areas of Texas.
Terms of the deal were not disclosed, and closing is expected in November. The acquisition also signals a return to San Antonio for 7-Eleven, where the company had operated stores until 1989.
"The combination of TETCO's retail and wholesale operations will make this 7-Eleven's largest acquisition since the company accelerated its growth plan four years ago," said Stan Reynolds, 7-Eleven executive VP and CFO. 7-Eleven said it will begin remodeling and rebranding the bulk of the locations later this year.
7-Eleven reiterated its plans to open at least 630 new locations in U.S. and Canada in 2012. The program involves new development and acquisitions; other significant acquisitions 7-Eleven have made in the past year include the 188-store Wilson Farms purchase and the 183 sites from ExxonMobil in Florida, both in 2011.
7-Eleven also said Tuesday it will put 30 former Wilson Farms locations in upstate New York on the auction block through a third-party broker, as part of its plans to streamline the chain. 7-Eleven has retained NRC Realty & Capital Advisors to sell the stores in upstate and Western New York through a sealed-bid process.
"In any acquisition of an entire chain, there will inevitably be some stores that don’t fit with a buyer’s long-term strategic plans. Such is the case with these 30 properties,” Robbie Radant, 7-Eleven vice president of mergers and acquisitions, said in a statement.The stores are being sold without 7-Eleven branding.