Susser Raising $200M for T&C Deal

CORPUS CHRISTI, TEXAS-BASED SUSSER
HOLDINGS, operator of 330 convenience
stores in Texas and Oklahoma under the Stripes
banner, is in the process of acquiring San Angelo,
Texas-based Town & Country Food Stores,
operator of 140 c-stores in Central and West
Texas and Eastern New Mexico, for $361 million.
To fund the transaction, Susser has priced
a $150 million private offering of senior notes.
In addition, the company entered into a $50
million sale/leaseback agreement
with Orlando, Fla.-based National
Retail Properties. Under the terms
of this agreement, National Retail
will acquire 13 Susser properties
and Susser will then execute triplenet,
20-year with five-year renewal
option, lease agreements on the
portfolio. Expected completion of
the transaction is scheduled to occur
by the end of this year. Susser
says it plans to retain current management
of Town & Country and
that it will fund additional store
growth of the chain, primarily in
its existing markets. With sales
of $842 million, Town & Country
owns 80% of its store real estate and has a
bank of 14 undeveloped sites.

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