Convenience Store News

MAR 2017

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38 Convenience Store News | MARCH 2017 | WWW.CSNEWS.COM service, allowing a buyer to pocket the interest savings and reduce its debt before interest rates rise again, explained Monroe. As the industry started to see over this past year, opportunities are more plentiful in the smaller ponds. Monroe agrees that more acquisi- tions are going to be of smaller chains. "The chains that are family owned or have family involved, and generally have professional manage- ment, will not sell," he said. "They have everything in place and will con- tinue to grow their companies." SUCH A THING AS TOO BIG? The challenge for all these growth chains making acquisitions is ulti- mately realizing that not all the stores work or make sense for their business, Ruben responded when asked if there is any danger of a chain getting too large in the convenience store industry. "We are doing a 100-store sale for Sunoco. That's a perfect case. We think a lot of the larger companies that have done big acquisitions need to prune their portfolios of stores that don't make sense — some stores are too small; they don't work; they end up doing an acquisition across the street from another store they already have," he reasoned. NRC likewise handled five separate sales for 7-Eleven. The stores sold were too far from its distribution center, too small, didn't fit No. 14 Wallis Companies Cuba, Mo. 2017 Store Count: 66 2016 Store Count: 34 Increase: 32 (94.1%) About the company's growth: Wallis Cos. was just two stores shy of seeing a 100-percent increase in store count over the past year. The chain made two acquisitions to grow its footprint by such a sizeable amount. In April, Wallis made a deal with the Schnucks supermarket chain to purchase its Schnucks Express stores in Champaign, Urbana and Savoy, Ill. A few months later, in September, Wallis acquired 13 Dirt Cheap convenience stores, 19 U-Gas convenience stores, one commissary operation, and one undeveloped parcel for future store development from Fenton, Mo.-based U-Gas Holdings Inc. "This is a major milestone in Wallis Cos.' 48-year history," President and CEO Lynn Wallis said of the U-Gas transaction. ••••••••••••••• cover story Have an ATM machine installed by Cash Depot. Placement - Rental - Merchant We'll do the rest. Just sit back, relax, and earn more... more money, more love for your customer, more industry support, more technology, and more up-time with Cash Depot than with the other guys. Our Pledge: We are proudly U.S. based, owned, and operated. Who do you want to do business with? Visit us: 1-800-776-8834

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