Sunoco LP said it will sell about 1,100 convenience stores and fueling stations in Texas and the Northeast to Irving-based 7-Eleven for $3.3 billion.
Sunoco, which is owned by Dallas-based Energy Transfer, is transitioning to a focus on the fuel supply business and getting out of the retail game. The deal also includes the sale of the Stripes and Laredo Taco Company brands. The deal is expected to close by the end of the year.
Sunoco plans to sell 200 more stores in North and West Texas, as well as in New Mexico and Oklahoma in a separate process. Sunoco though will keep its APlus stores and its Aloha Petroleum business in Hawaii.
As part of the deal, Sunoco is inking a 15-year supply deal with 7-Eleven to sell about 2.2 billion gallons of fuel annually. Sunoco Chief Executive Bob Owens called the deal the beginning of an “exciting evolution” into a premier nationwide fuel supplier.
Energy Transfer Partners, which recently completed the controversial Dakota Access Pipeline, is reining into its large umbrella of businesses. Energy Transfer is currently in the process of merging with its other publicly traded Sunoco business, called Sunoco Logistics, in a $20 billion deal to simplify the number of publicly traded brands.
Energy Transfer previously acquired Sunoco in 2012 for more than $5 billion, but maintained them as separate public businesses.