|Over a week ago|
Arko Corp. announces agreement to acquire all assets of TEG for $375M » 08:0609/1209/12/22
ARKO announced that GPM…
ARKO announced that GPM Investment, a wholly owned subsidiary of ARKO, and certain of GPM's subsidiaries have agreed to acquire from Transit Energy Group, TEG, approximately 150 convenience stores, fuel supply rights to approximately 200 dealers, commercial, government, and industrial customers, as well as TEG's bulk storage, distribution and transportation assets, all in the Southeastern United States. The purchase price is approximately $375M plus the value of inventory, of which $50M is deferred and payable in two annual payments of $25M, which ARKO may elect to pay in either cash or, subject to certain conditions, shares of ARKO's common stock, on the first and second anniversaries of the closing. At closing, ARKO intends to finance from its own sources approximately $60M of the cash consideration plus the value of inventory and other closing adjustments. The remaining approximately $265 million is expected to be funded by Oak Street Real Estate Capital, a Division of Blue Owl Capital as part of the previously announced existing $1.15B agreement with the Company, according to which Oak Street is expected to acquire the real estate assets to be acquired from TEG as part of the transaction and the Company expects to lease the real estate assets from Oak Street. "We believe this significant, accretive acquisition will drive strategic growth with the addition of an exceptional team, well-known stores and other assets to our Family of Community Brands," said Arie Kotler, President, Chairman and Chief Executive Officer of ARKO. "A deal of this magnitude complements our core capabilities and will create long-term value for ARKO stockholders and valuable synergies given our existing footprint and proven strategy of adding value to strong local brands while keeping jobs in place." The closing of the transaction is subject to fulfillment of conditions precedent. There is no certainty that the transaction will close.
|Over a month ago|
Arko Corp. reports Q2 EPS 24c, consensus 19c » 16:4608/0808/08/22
Reports Q2 revenue…
Reports Q2 revenue $2.54B, consensus $2.38B. "ARKO has continued to successfully execute our growth strategy, delivering for our loyal customers while creating long-term value for our stockholders. This quarter's record results are a testament to our ability to manage margin and volume while staying competitive," said Arie Kotler, President, Chairman and Chief Executive Officer of ARKO. "While we delivered excellent results in an environment of higher fuel prices, we believe that our fuel strategy also enables strong results as fuel prices decline. Despite inflation pressures, we kept customers coming to our Family of Community Brands with compelling offerings, growing same store merchandise sales in key categories while increasing margins. As these excellent financial results show, our differentiated business model is very resilient, and I believe we are well-positioned to continue our growth."
Arko Corp. closes 21st acquisition with purchase of Quarles » 08:1507/2507/25/22
ARKO announced that GPM…
ARKO announced that GPM Investments, a wholly owned subsidiary of ARKO, acquired from Quarles Petroleum certain assets, including 121 proprietary Quarles-branded cardlock sites, management of 63 third party cardlock sites for fleet fueling operations, 46 independent dealer locations, including certain lessee-dealer sites, and a small transportation fleet. "We plan to continue to pursue acquisitions like the Quarles Acquisition as we focus on strategic growth that generates long-term shareholder value," said Arie Kotler, President and CEO of ARKO. "The acquired Quarles assets comprise a complementary business that has operated continuously for more than 80 years, and we believe we can grow and expand the Company's fleet fueling platform and continue to provide best-in-class fuel services and solutions to our customers." The Quarles Acquisition is ARKO's 21st acquisition since 2013. The Quarles Acquisition is expected to add approximately 160M gallons, primarily diesel, to the approximately two billion gallons ARKO currently sells annually, as well as fleet fueling card operations that are expected to facilitate the sale of approximately 50M gallons at third-party locations nationwide.
|Over a quarter ago|
Street Wrap: Today's Top 15 Upgrades, Downgrades, Initiations » 09:5405/2505/25/22
CASY, CME, APD, FANG, KRC, SBRA, BBY, FSR, TWOU, DVN, VRCA, ANCTF, MUSA, ARKO, GNRC, WBX, ALGM, PRCH
Arko Corp. initiated with an Equal Weight at Wells Fargo » 06:4405/2505/25/22
Wells Fargo analyst…
Wells Fargo analyst Anthony Bonadio initiated coverage of Arko Corp. with an Equal Weight rating and $7.75 price target. The analyst believes there is plenty of opportunity to unlock value in this highly acquisitive name, but its short track record as a public company and execution risk leave him on the sidelines for now. Gaps in per store productivity and lagging comps both point to upside potential if the company can gain traction with strategic initiatives, Bonadio contends. The analyst thinks the company is taking the right steps as it begins to remodel stores, enhances its prepared food offering, and continues to scale, but most of these efforts remain in the early innings and are not without risk.
Arko Corp. reports Q1 EPS 0c, consensus 2c » 07:1605/0405/04/22
Reports Q1 revenues…
Reports Q1 revenues $1.97B, consensus $1.93B. "ARKO had a great quarter, once again posting a quarter versus quarter double-digit increase in adjusted EBITDA as our growth story continues with excellent results," said Arie Kotler, President, Chairman and Chief Executive Officer of ARKO. "We are focused on disciplined capital allocation, with substantial liquidity that positions us well to pursue growth opportunities externally and through strategic investments in our stores and operations. In a rapidly changing economic environment, I believe that we are positioned to continue to exceed our customers' expectations, deliver strong growth, and create stockholder value over the long-term."
Arko Corp.'s GPM secures $1.15B real property commitment from Oak Street » 08:1004/1304/13/22
GPM Investments, a wholly…
GPM Investments, a wholly owned subsidiary of Arko Corp. (ARKO) extended its existing $1B agreement with Chicago-based real estate investment firm Oak Street Real Estate Capital, a division of Blue Owl Capital (OWL), by one-year, and the extended agreement provides aggregate availability in the amount of $1.15B during the second year of the term. ARKO and Oak Street extended by one year an agreement originally signed in May 2021, in which Oak Street agreed to purchase and lease real estate to GPM or its affiliates. In addition to the $253M of real estate purchased by Oak Street under the agreement, and the $130M of real estate expected to be purchased in the recently announced acquisition of the fleet fueling card lock and distribution assets of Quarles Petroleum, Oak Street has committed up to $1.15B for the second year of the term, subject to the terms and conditions of the agreement.
Arko Corp. partners with JDC to support Ukranian refugees » 08:0604/1204/12/22
GPM Investments is…
GPM Investments is teaming up with JDC, a leading global humanitarian organization, to raise funds to help alleviate the growing refugee crisis in Ukraine and neighboring countries. Millions of Ukrainians have already fled the country, a number expected to continue to rise. Those who remain in Ukraine are suffering due to the ongoing war and are also in need of assistance. From 4/11/2022 to 6/12/2022, GPM associates across all company-operated locations will sell pinups in donation amounts of $1, $5, and $10. GPM is also partnering with its supplier community and raising additional dollars through their generosity. All proceeds will be matched dollar for dollar up to $1 million by a generous JDC donor.
Arko Corp.'s GPM appoints Ruth Ann Lilly as SVP, marketing, merchandising » 08:0403/1603/16/22
GPM Investments announced…
GPM Investments announced its promotion of Ruth Ann Lilly to Senior Vice President of Marketing and Merchandising. Lilly is a seasoned executive with 31 years' experience in the convenience store industry. She joined GPM in 2017 as Senior Category Manager of tobacco.
Arko o acquire fleet fueling cardlock, fuel distribution business from Quarles » 07:2302/2302/23/22
ARKO Corp. announced that…
ARKO Corp. announced that GPM, a subsidiary of ARKO, has entered into an agreement with Quarles Petroleum for the acquisition of certain assets, including 121 branded and 64 contracted cardlock sites, which are strategically located unmanned fuel sites located on high-traffic corridors in the mid-Atlantic region, at which customers purchase fuel with fleet cards. This acquisition is part of ARKO's strategic focus on growth and generating long-term shareholder value with its dual convenience and wholesale platform. At the time of signing an asset purchase agreement, using estimated forward-looking non-GAAP measures, the Company expects that this acquisition will add approximately $17.3M of adjusted EBITDA on an annualized basis after incremental rent of approximately $7.7M to be paid to Oak Street Real Estate Capital, LLC, the private equity real estate firm who will fund approximately $130M of the purchase price. The acquisition will add approximately 200 million gallons to the approximately 2 billion gallons ARKO currently sells annually. The closing of the transaction is subject to fulfillment of conditions precedent and the completion of various transition planning matters. The transaction is expected to close during the second quarter of 2022. There is no certainty that the transaction will close.