Casey's Acquiring 24 Stores in Minnesota, North Dakota
By George C. Ford, Reporter
CEDAR RAPIDS, Iowa - Ankeny-based Casey's General Stores on Wednesday disclosed it has signed an asset purchase agreement to acquire 24 Stop-n-Go convenience stores in Minnesota and North Dakota.
Twenty of the stores are located in North Dakota and four are located in Minnesota.
"We are excited about the opportunity to acquire the Stop-n-Go chain as they are a well-managed and established group of stores in a relatively new market area for Casey's," said Robert Myers, Casey's president and CEO.
"This acquisition will be accretive to earnings in the first year of operation and will provide future earnings enhancements as we realize operating efficiencies and integrate our prepared food operations."
The acquisition is subject to certain regulatory approvals and other customary closing conditions, including the Casey's receipt of satisfactory inspection reports related to the stores. The transaction is expected to close in May.
Myers said the Stop-n-Go acquisition is expected to act as a springboard for construction of additional Casey's stores in Minnesota and North Dakota as well as potential purchases and conversions of existing convenience stores.
Casey's plans to fund the Stop-n-Go acquisition with a combination of existing cash and operating cash flow.
Casey's had about 1,775 company-owned stores on Nov. 30, 2013, primarily in Iowa, Illinois, Indiana, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota and Wisconsin.