Des Moines, Iowa-based convenience store retailer Yesway has completed its acquisition of Allsup’s Convenience Stores, a 304-store regional chain based in Clovis, New Mexico, that has been serving as a cornerstone in each of its local communities for more than 60 years.
This represents the largest acquisition in Yesway’s history, catapulting the four-year-old gas station and convenience store operator to 421 stores; bolstering its presence in Texas, New Mexico, and Oklahoma; and bringing the company significantly closer to achieving its goal of assembling a convenience store portfolio with more than 500 locations and becoming one of the top 15 convenience retailers in the United States.
“All of us at Yesway are excited to be joining together with Allsup’s, one of the most iconic and adored convenience store chains in the country,” said Tom Trkla, chairman and CEO of Yesway. “We are honored that Barbara and Mark Allsup selected us to be the future custodian of their brand promise and legacy, which Lonnie and Barbara Allsup started over 63 years ago with the opening of their first store in Roswell, New Mexico.” Trkla said, “We take this responsibility very seriously and pledge to all of Allsup’s loyal customers that what makes Allsup’s so unique and special will not change. We look forward to serving our terrific customers, to continuing to offer the world-famous Allsup’s burrito, and to building on Allsup’s legendary tradition by adding new and exciting products and customer benefits in the months and years to come.”
“There are tremendous synergies between our two companies, the most notable of which are Allsup’s phenomenal foodservice offer and Yesway’s technological expertise. We are fortunate to have very experienced management teams within both organizations, which will help us execute on our vision,” Trkla said. ”I am thrilled that Mark has agreed to serve as president of the combined company and I look forward to working closely with him as we complete the integration and continue to grow the portfolio.” In addition to Allsup, several other key Allsup’s executives and department managers will have senior roles in the combined company, including Brian Ashburn, who will serve as SVP and co-director of retail operations, and Jeff Scarbrough, who will serve as SVP and Director of Fuels. Allsup, Ashburn and Scarbrough all will become members of Yesway’s operating committee.
“From our founding over 60 years ago to today, Allsup’s has had a rich history of caring about our employees, our customers, our service providers and the communities in which we work and live,” said Mark Allsup, president of Allsup’s Convenience Stores. “With Yesway as the new steward of the Allsup’s legacy, we know that our values and our commitment to maintaining a hard-working, caring and loyal culture will not change as we move forward. We could not be more pleased about joining the Yesway family and look forward to a bright future together.”
Goldman Sachs acted as financial advisor to Yesway for this transaction, and Goldman Sachs and RBC were joint lead arrangers on the associated debt facility.