ARKO Corp. Announces the Extension of Oak Street Commitment for up to $1.5 Billion and Announces a Credit Line Increase to $800 Million and Extension of Maturity
May 08 2023 - 7:00AM
ARKO Corp. (Nasdaq: ARKO) (“ARKO” or the “Company”), a Fortune 500
company and one of the largest convenience store operators in the
United States, announced today two separate agreements that enhance
the Company’s dealmaking flexibility and long-term growth strategy.
On May 2, 2023, ARKO subsidiary, GPM Investments, LLC, together
with affiliates of Oak Street, a division of Blue Owl Capital (“Oak
Street”), entered into a third amendment to the program agreement
with Oak Street (the “Program Agreement”). This amendment extends
the term of the Program Agreement and provides for an aggregate up
to $1.5 billion of capacity from the date the amendment was signed
through September 30, 2024. This $1.5 billion is in addition to the
funding for the previously announced acquisition of WTG Fuels
Holdings LLC, which is expected to close in the second quarter.
Additionally, ARKO subsidiary, GPM Petroleum LP, renewed and
extended its revolving credit facility with a syndicate of banks
led by Capital One, National Association. The credit line was
increased by $300 million, to $800 million, and its maturity was
extended to May 2028.
In aggregate, ARKO currently has more than $2 billion in
available capital for continued merger and acquisition activity,
including cash, lines of credit, and the extended Oak Street
program agreement.
“We believe that these financial commitments position ARKO to
continue our long-term growth strategy well into the future,” said
Arie Kotler, Chairman, President, and Chief Executive Officer of
ARKO. “I believe we have the balance sheet strength and liquidity
to continue pursuing multiple paths of growth, making disciplined,
accretive acquisitions while investing in our core convenience
store business to create value for our stockholders.”
About ARKO Corp.
ARKO Corp. (Nasdaq: ARKO) is a Fortune 500 company that owns
100% of GPM Investments, LLC and is one of the largest operators of
convenience stores and wholesalers of fuel in the United States.
Based in Richmond, VA, our highly recognizable family of community
brands offers delicious, prepared foods, beer, snacks, candy, hot
and cold beverages, and multiple popular quick serve restaurant
brands. Our high value fas REWARDS® loyalty program offers
exclusive savings on merchandise and gas. We operate in four
reportable segments: retail, which includes convenience stores
selling merchandise and fuel products to retail customers;
wholesale, which supplies fuel to independent dealers and
consignment agents; GPM Petroleum, which sells and supplies fuel to
our retail and wholesale sites and charges a fixed fee, primarily
to our fleet fueling sites; and fleet fueling, which includes the
operation of proprietary and third-party cardlock locations, and
issuance of proprietary fuel cards that provide customers access to
a nationwide network of fueling sites. To learn more about GPM
stores, visit: www.gpminvestments.com. To learn more about ARKO,
visit: www.arkocorp.com.
Forward-Looking Statements
This document includes certain “forward-looking statements”
within the meaning of the Private Securities Litigation Reform Act
of 1995. These forward-looking statements may address, among other
things, the Company’s expected financial and operational results
and the related assumptions underlying its expected results. These
forward-looking statements are distinguished by use of words such
as “anticipate,” “aim,” “believe,” “continue,” “could,” “estimate,”
“expect,” “intends,” “may,” “might,” “plan,” “possible,”
“potential,” “predict,” “project,” “should,” “will,” “would” and
the negative of these terms, and similar references to future
periods. These statements are based on management’s current
expectations and are subject to uncertainty and changes in
circumstances. Actual results may differ materially from these
expectations due to, among other things, changes in economic,
business and market conditions; the Company’s ability to maintain
the listing of its common stock and warrants on the Nasdaq Stock
Market; changes in its strategy, future operations, financial
position, estimated revenues and losses, projected costs, prospects
and plans; expansion plans and opportunities; changes in the
markets in which it competes; changes in applicable laws or
regulations, including those relating to environmental matters;
market conditions and global and economic factors beyond its
control; and the outcome of any known or unknown litigation and
regulatory proceedings. Detailed information about these factors
and additional important factors can be found in the documents that
the Company files with the Securities and Exchange Commission, such
as Form 10-K, Form 10-Q and Form 8-K. Forward-looking statements
speak only as of the date the statements were made. The Company
does not undertake an obligation to update forward-looking
information, except to the extent required by applicable law.
Media Contact
Andrew Petro
Matter on behalf of ARKO
(978) 518-4531
apetro@matternow.com
Investor Contact
Ross Parman
ARKO Corp.
investors@gpminvestments.com
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