In a deal with EG America, Casey's is gaining more than 60 stores in Kentucky and Tennessee.
Casey’s General Stores, Inc. is widening its footprint and reach with the acquisition of 63 c-stores from fellow retailer EG America. In a deal that’s expected to close by the end of the year, the locations currently operating under the Minit Mart and Certified Oil banners in Kentucky and Tennessee will come into the Casey’s fold.
The acquisition follows the June announcement of Casey’s three-year strategic plan. Then, the retailer shared that it plans to expand its footprint through both organic growth and acquisitions, with a target of 350 additional locations by the end of fiscal year 2026.
The new venture allows Casey’s to make progress on that goal and its other plans to enhance prepared food offerings and improve operational efficiencies. “One of the key pillars in our strategic plan is to accelerate our store growth over the next three years and bring Casey’s to more communities. This opportunity is an excellent strategic fit as we look to add locations in Kentucky and Tennessee, which are both within our existing distribution footprint,” said Darren Rebelez, president and CEO officer at Casey’s.
It's also been a year of change for EG America. Earlier this year, EG America’s parent company, U.K.-based EG Group, announced a sale and leaseback on several sites on the East Coast. The $1.5 billion deal with Realty Income Corp. enabled EG America to continue to operate the portfolio, which includes Cumberland Farms, Fastrac, Tom Thumb and Sprint banners.
Zuber Issa, co-founder and co-CEO of EG Group, said the latest arrangement with Casey’s will help the company reach its own strategic goals. “EG Group is pleased to have found a new home for some of our Certified Oil and Minit Mart portfolio. This divestment will enable both parties to execute their strategic plans, respectively. For EG Group, this divestment also represents another important step in executing our deleveraging strategy.”