Dive Brief:
- Campbell Oil Company has acquired the gasoline and fuel division of North Carolina competitor Smith Oil Company, the convenience retailer and fuel distributor announced last week.
- Campbell, whose fuel distribution business already spans more than 25 states, is extending its hometown presence by purchasing Smith, whose services reach Sampson County and surrounding areas of North Carolina, according to the announcement.
- Campbell has spent the past couple years heavily investing in its Minuteman Food Mart c-store chain, but its latest deal signals that the company is also keen on growing its fuel distribution segment.
Dive Insight:
In the announcement, Campbell said the deal will expand its existing portfolio of fuel, propane and service solutions to residential, agricultural and commercial customers throughout southeastern North Carolina. Campbell, which was founded in 1948, already services the region with gasoline, diesel fuel, propane and lubricants.
Smith Oil owners Billy and Helen Smith “will remain actively involved during the transition” to help ensure operations remain stable, according to the announcement.
“Expanding further into Sampson County allows us to invest further in the communities we serve,” said Tracy Hardin, vice president of short truck operations for Campbell. “We look forward to building strong, long-term relationships with our new customers while continuing the family-owned values both companies share.”
Campbell seems to be in the early stages of new growth plans for its fuel business. In the announcement, the company said it is “actively pursuing strategic acquisitions with established fuel and energy providers.” The company is joining several other c-store and fuel retailers that are growing their distribution businesses through M&A, including Sunoco LP and JB Dewar.
