Florida Petroleum’s $15.75 million bid beats out Great Lakes Petroleum for ownership of the company.
Newly-formed Florida Petroleum has registered the winning bid for the assets of bankrupt Evans Oil and plans to keep Evans Oil’s 70 employees in southwest Florida on board following the sale, The News-Press Online reported.
The auction took place last week, during which Florida Petroleum’s $15.75 million bid beat the $15.55 million bid from Charlotte, N.C.-based Great Lakes Petroleum.
Both companies offered to assume more than $4 million in financial obligations for Naples, Fla.-based Evans Oil, which last year filed for Chapter 11 bankruptcy protection. Evans Oil, owed more than $35 million to Fifth Third Bank at the time of its bankruptcy filing 15 months ago, when Fifth Third Bank pushed for the bankruptcy, The News-Press Online reported.
Evans Oil, a major distributor for Chevron gas stations, is expected to continue to operate as usual until a deal is finalized by Sept. 13. In the event Florida Petroleum can’t finalize its deal with Evans Oil, the company will enter negotiations with Great Lakes Petroleum.