TravelCenters of America LLC has entered a definitive agreement for the sale of TA’s Minit Mart convenience store business for approximately $330.8 million to EG Group, subject to adjustments of final net working capital and certain prorations at closing. The portfolio TA has agreed to sell includes 225 standalone convenience stores and certain other related assets.
The sale will enable TA to exit the standalone convenience store business and focus on its core travel center business, according to an announcement. TA currently expects to use the net proceeds from the sale to reduce leverage and/or invest in travel center growth initiatives. TA expects the sale to be completed in the fourth quarter of 2018, pending customary closing conditions.
“TA will exit the standalone convenience store business, allowing us to increase our focus on our core travel center operation, which we believe is a business where we have many competitive advantages. We plan to use the net proceeds from this sale to reduce leverage and/or invest in travel center growth initiatives. We expect some of these growth initiatives may include expanding our industry-leading truck service program and growing our nationwide network of travel centers, including investing in our recently announced TA Express travel center format and pursuing new franchising opportunities,” says TravelCenters CEO Andy Rebholz.