FUEL firm Murco has sold its retail business, including 228 forecourt sites, to Motor Fuel Group (MFG) in a deal reported to be worth £200m.
The purchase by MFG, which currently has 60 petrol stations in the UK, was done with the support of private equity group. Patron Capital Partners and oil industry veteran, Alasdair Locke, MFG was originally acquired by Patron in a joint venture with a new management team backed by Locke in December 2011.
MFG’s existing 60 sites mostly offer BP or Jet fuel and have Costcutter shops.
Murco sites also have Costcutter stores. The firm signed a three-year deal with Costcutter last year.
The acquisition of Murco, scheduled to be completed no later than the end of this month, will add 228 company stations to the MFG network and a 200 plus dealer network to the group. All the stations will continue to offer fuel under the Murco brand.
Jeremy Clarke, managing director at MFG said: “The signing of this agreement supports our stated objective to grow Motor Fuel Group into a significant force in the UK forecourt sector.”
The Petrol Retailers Association welcomed the deal.
PRA chairman Brian Madderson said: “The agreement between MFG and Murco provides much certainty in the UK forecourt sector.”