Seeking Alpha

Energy Transfer Partners to acquire Susser Holdings in $1.8B deal

  • Under terms of the deal - unanimously approved by both boards - Susser (SUSS) owners can received either $80.25 in cash for 1.4506 ETP units for each share of Susser they own. Susser closed at $57.03 on Friday.
  • Susser currently operates 630 retail convenience stores (Stripes) across Texas, New Mexico, and Oklahoma.
  • Energy Transfer already has agreement from Susser shareholders representing 10% of the company to exchange their SUSS shares for ETP shares.
  • Overall synergies between Stripes and Sunoco are expected to exceed $70M annually, and be realized within 6-12 months post-closing.
  • CC at 8 ET
  • Source: Press Release
Comments (1)
  • User 353732
    , contributor
    Comments (4966) | Send Message
     
    The strategic fit is not at all obvious unless ETP intends to become a gasoline and diesel retailer thru these convenience stores, but to what end?
    Retailing is not, by any definition, a part of midstream energy logistics and market making.
    28 Apr 2014, 01:03 PM Reply Like
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