Dive Brief:
- Gaubert Oil has agreed to acquire the wholesale and transportation division of regional competitor Buffalo Services for an undisclosed amount, according to a Tuesday announcement.
- The deal includes Buffalo's unbranded commercial fuels distribution business and related operations, including two bulk plants. Buffalo Services will retain its 11 B-Kwik Food Marts in south Mississippi, which will receive their fuel supply from Gaubert, a spokesperson said.
- While c-store acquisitions often take the spotlight, consolidation is also continuing among fueling companies. Other deals have recently included Minuteman parent company Campbell Oil buying North Carolina competitor Smith Oil and California distributor JB Dewar acquiring local competitor McCormix Corporation.
Dive Insight:
The acquisition would help Gaubert strengthen its presence in the Gulf South by giving it a foothold in Mississippi, where Buffalo Services is located. Gaubert already has locations throughout Louisiana and in eastern Texas, according to its website.
Buffalo’s employees who work with customers are expected to retain their positions after the transition.
"Taking care of our customers has always been our priority," said Clifton Van Cleave, CEO and president of Buffalo Services. "After getting to know the Gaubert team, I am confident they share that same commitment and will continue to serve our customers the right way."
Gaubert Oil has signed a letter of intent to make the acquisition. The announcement did not include a timeline for the deal.
In addition to its fuels business, Gaubert operates its GoBears chain of convenience stores, GOCO Transportation truck fleet and Industrial Fluid Management (IFM), a technical services division focused on lubrication reliability, contamination control and maintenance solutions.
