US convenience retailer Casey's General Stores has signed a deal to acquire 22 convenience stores from US retailer Kum & Go.
The outlets are located in Iowa, Missouri and North Dakota. "These stores are an excellent fit to our existing store base and will allow us an opportunity to operate in a new state," said Casey's CEO Robert Myers. "We expect this acquisition to be accretive in the first year of operation and enhance future earnings as we integrate our prepared food operations."
The acquisition is subject to certain regulatory approvals and is expected to close in November.
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Kum & Go To Sell 22 Stores to Casey's
Ankeny, IA, September 11, 2012-Kum & Go and Casey's General Stores, Inc. (Nasdaq symbol CASY) announced today that they have signed an Asset Purchase Agreement for Casey's to acquire 22 convenience stores from Kum & Go. The stores are located in Iowa, Missouri and North Dakota.
"Our company is committed to carefully-planned, strategic growth - that's evidenced by the fact that we'll open 40 new stores this year alone," said Kyle J. Krause, Kum & Go president and CEO. "It's our continued desire to consolidate and strengthen our asset base and offer a consistent brand to our customers in Kum & Go's core markets. The sale of these properties, in addition to our new store growth, brings us one step closer to carrying out that strategy."
"These stores are an excellent fit to our existing store base and will allow us an opportunity to operate in a new state," said Robert J. Myers, President and CEO of Casey's. "We expect this acquisition to be accretive in the first year of operation and enhance future earnings as we integrate our prepared food operations."
The following stores are included in the purchase agreement:
210 N Main St Sigourney IA 400 S Main St Osceola IA 744 Washington St Pella IA 413 A Ave W Oskaloosa IA 901 S Market St Oskaloosa IA 318 N Lincoln St Knoxville IA 1201 E Main St Knoxville IA 1400 E Washington St Clarinda IA 106 S 4th St Forest City IA 508 SE Kent St Greenfield IA 501 S Main St Monticello IA 919 W Washington St Marshfield MO 903 N Sumner Ave Creston IA 301 W Taylor St Creston IA 702 Chatburn Ave Harlan IA 204 S Main St Albia IA 3001 Main St Emmetsburg IA 916 E Main St Marshalltown IA 504 10th St Hawarden IA 503 S Franklin St Kirksville MO 112 N Main St Horace ND 1301 W Sheridan Ave Shenandoah IA The acquisition is subject to certain regulatory approvals and other customary closing conditions, including the receipt of satisfactory inspection reports related to the stores. The transaction is expected to close in November 2012.