INDUSTRY ROUNDUP
Couche-Tard Sells Its Interests in CrossAmerica Partners CrossAmerica founder Joe Topper takes back ownership through investment entities sold its ownership interests in CrossAmerica Partners LP; however, the move will not affect the asset exchange pact between the two companies.
ALIMENTATION COUCHE-TARD INC.
Couche-Tard struck the deal with investment entities controlled by Joe Topper, founder of Allentown, Pa.-based CrossAmerica. Topper is a current member of the board of directors of CrossAmerica’s general partner, CrossAmerica GP LLC. The CrossAmerica interests sold consist of 100 percent of the general partner interest, 100 percent of the incentive distribution rights, and approximately 7.5 million CrossAmerica limited partner units. The transaction’s price tag was not disclosed. According to CrossAmerica, Topper will now return as chairman of the board of the company’s general partner. The transaction does not involve any capital outlay by CrossAmerica, 12 Convenience Store News C S N E W S . c o m
nor does it change the company’s capital structure. “At this time, we anticipate maintaining our current distribution policy, distribution coverage and leverage ratio targets that have been outlined over the past few quarters,” Topper said. “I am excited for the future of the partnership. In the coming weeks and months, I and the management team look forward to sharing in more detail with our unitholders our strategy and goals for CrossAmerica.” Laval, Quebec-based Couche-Tard acquired CrossAmerica’s general partner, CrossAmerica GP LLC, as part of its acquisition of CST Brands Inc. in July 2017. That deal also gave Couche-Tard 100 percent of the incentive distribution rights in CrossAmerica, and approximately 6.9 million CrossAmerica limited partner units. The decision to sell its entire ownership interest came after a strategic review. “The sale of our interest in CrossAmerica benefits both parties and allows each to focus on growing their core businesses,” said Brian Hannasch, president and CEO of Couche-Tard. “As we complete the remaining exchange of assets with CrossAmerica, we will continue to look for opportunities for future exchanges that create value for our shareholders and CrossAmerica’s unitholders.”