Feb 5, 2024

Capstone Partners Advised a Leading Fuel Distribution Company on a $160 Million Senior Credit Facility to Support a Strategic Acquisition and Refinance Existing Debt

Capstone Partners advised a leading vertically integrated fuel distribution company based in the Midwest on the placement of a $160 million senior credit facility with an institutional private credit firm. The proceeds were used to fund an acquisition, refinance existing credit facilities, support capital expenditure needs, and pay transaction fees. Terms of the deal were not disclosed.

The company is a regional leader in refined fuel distribution that primarily services commercial, industrial, agricultural, retail, and wholesale customers throughout the Great Lakes region. Currently, the company is executing a roll-up strategy by acquiring petroleum terminals, wholesale distribution assets, and retail gas station stores, while realizing the competitive advantages of vertical integration in the space.

“Multiple lenders were drawn to the company’s innovative and differentiated growth model and the leadership team’s ability to leverage its multiple touchpoints within the petroleum distribution ecosystem to enhance profitability and value to its customers and brand partners,” said Adam Morris, Director in Capstone Partners’ Debt Advisory Group. “The financing provides the company with an experienced capital partner that is able to support continued acquisition-focused growth strategy and we are honored to have played a part in supporting their continued success.”

The expert investment banking professionals in Capstone Partners work with leading middle market companies to maximize financial outcomes at every stage of the business lifecycle. Our firm has developed a full suite of corporate finance solutions, including M&A advisory, debt advisory, financial advisory, and equity capital financing to help privately owned businesses and private equity firms address any need, ranging from growth and financial or operational advisement to an ultimate exit transaction. To learn more about this transaction, or about the benefits of starting a relationship with our Debt Advisory Group, contact us.