The acquisition will expand Casey’s presence
into the attractive Texas and southern markets, delivering
accretive growth and creating value for shareholders, team members
and guests
Casey’s General Stores, Inc. (“Casey’s” or the “Company”)
(Nasdaq: CASY), one of the leading convenience store chains in the
United States, today announced an agreement to acquire Fikes
Wholesale, Inc. (“Fikes”), owner of CEFCO Convenience Stores
(“CEFCO”), in an all-cash transaction for $1.145 billion. The
purchase price includes tax benefits valued at approximately $165
million for a net after-tax purchase price of $980 million.
Fikes Wholesale, Inc. and CEFCO Convenience Stores began as a
single “filling station” in Cameron, Texas in 1952 and has grown to
be a respected operator with stores in multiple states. Casey’s
acquisition of Fikes will include 198 retail stores and a dealer
network. The proposed transaction will increase Casey’s footprint
to nearly 2,900 stores. The acquisition will bring 148 additional
stores to Texas, which is a highly strategic market for Casey’s, as
well as 50 stores in the southern states of Alabama, Florida, and
Mississippi. In addition to the retail stores and dealer locations,
the transaction includes a fuel terminal and a commissary to
support the Texas stores.
“During our Investor Day presentation in June of 2023, we
outlined our business strategy to achieve top-quintile EBITDA
growth. One of the core pillars of the plan is to grow the number
of units,” said Darren Rebelez, Board Chair, President and CEO of
Casey’s. “This acquisition will allow Casey’s to accelerate our
unit growth plan with high-quality assets that, along with our
recent 22 store acquisition in northern Texas, will provide an
expanded presence in Texas and allow us to continue to expand in
the state and region.”
Raymond Smith, President of Fikes and CEFCO, highlighted the
strategic alignment between the two convenience organizations. “The
acquisition by Casey’s, especially given its reputation and shared
values, is an exciting development for Fikes and our employees. I
am happy that the CEFCO stores will join a top convenience retailer
that will reinvest in the stores and eventually bring Casey’s pizza
to many of our customers as well as provide professional
opportunities for our employees. We believe Casey’s will be an
excellent steward of the CEFCO experience that our loyal customers
have come to expect.”
Rebelez added, “We expect the acquisition will create value for
Casey’s shareholders in the near- and long-term and will be
accretive to Casey’s EBITDA in the current fiscal year. Fikes is a
well-run and well-respected company in our industry, and we look
forward to welcoming the Fikes team to the Casey’s family. We could
not be more excited about the future of our two organizations.”
The company plans to finance the transaction through balance
sheet cash and bank financing. The net investment of $980 million
represents an approximate multiple of 11 times CEFCO’s pro forma
adjusted 2023 EBITDA. The Company expects to achieve approximately
$45 million in annual run-rate synergies upon the completion of
kitchen installations in the acquired stores.
The transaction is anticipated to close during the fourth
quarter of calendar year 2024, subject to customary closing
conditions and regulatory approval. Casey’s was advised by BMO
Capital Markets Corp. as financial advisor and Paul, Weiss,
Rifkind, Wharton & Garrison LLP as legal counsel, and Cleary
Gottlieb Steen & Hamilton as antitrust legal counsel. Fikes was
advised by BofA Securities as financial advisor and Bourland, Wall
& Wenzel, P.C. as legal counsel.
Webcast Information
Casey’s will host a conference call to discuss the transaction
at 10:00 a.m. Central Time, July 26th. A live webcast of the call
will be available on Casey’s website on the Investor Relations page
at
https://investor.caseys.com/events-and-presentations/default.aspx.
For those unable to listen to the live broadcast, an audio replay
will be available on the website for twelve months.
About Casey’s General
Stores
Casey’s is a Fortune 500 company (Nasdaq: CASY) operating over
2,600 convenience stores. Founded more than 50 years ago, the
company has grown to become the third-largest convenience store
retailer and the fifth-largest pizza chain in the United States.
Casey’s provides freshly prepared foods, quality fuel and friendly
service at its locations. Guests can enjoy pizza, donuts, other
assorted bakery items, and a wide selection of beverages and
snacks. Learn more and order online at www.caseys.com, or in the
mobile app.
About Fikes Wholesale, Inc. and CEFCO
Convenience Stores
Fikes Wholesale, Inc. and CEFCO Convenience Stores were founded
as a family-owned and operated business in 1952. Today, they
operate convenience stores in Alabama, Florida, Mississippi, and
Texas. Learn more at www.cefcostores.com.
Forward-Looking Statements
This communication contains statements that may constitute
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995, including those related
to the ability to consummate the transaction, the potential impact
of consummation of the transaction on relationships with third
parties, expectations for future periods, possible or assumed
future results of operations, financial conditions, liquidity and
related sources or needs, business and/or integration strategies,
plans and synergies, supply chain, growth opportunities, and
performance at the Company’s stores. There are a number of known
and unknown risks, uncertainties, and other factors that may cause
the Company’s actual results to differ materially from any results
expressed or implied by these forward-looking statements, including
but not limited to the execution of the Company’s strategic plan,
the integration and financial performance of acquired stores,
wholesale fuel, inventory and ingredient costs, distribution
challenges and disruptions, the impact and duration of the conflict
in Ukraine or other geopolitical disruptions, as well as other
risks, uncertainties and factors which are described in the
Company’s most recent annual report on Form 10-K and quarterly
reports on Form 10-Q, as filed with the Securities and Exchange
Commission and available on the Company’s website. Any
forward-looking statements contained in this communication
represent our current views as of the date of this communication
with respect to future events, and the Company disclaims any
intention or obligation to update or revise any forward-looking
statements in this communication whether as a result of new
information, future events, or otherwise.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240726504940/en/
Investor Relations Contact: Brian Johnson (515) 446-6587
Brian.johnson@caseys.com
Media Relations Contact: Katie Petru (515) 446-6772
Katie.petru@caseys.com
Caseys General Stores (NASDAQ:CASY)
過去 株価チャート
から 6 2024 まで 7 2024
Caseys General Stores (NASDAQ:CASY)
過去 株価チャート
から 7 2023 まで 7 2024
