Business
Superior Plus Completes US $75 Million Acquisition of Griffith Energy Services
Superior Plus Completes US $75 Million Acquisition of Griffith Energy Services
About this update from Superior Plus Corp
[{"type":"text","content":"\n\n\n\nDec. 11, 2009 (Canada NewsWire Group) -- CALGARY, Dec. 11 /CNW/ -- Superior Plus Corp. (\"Superior\") is pleased to announce that Superior Plus Energy Services LLC, its indirect wholly owned US subsidiary has successfully closed the previously announced acquisition to acquire certain assets that comprise a retail heating oil, propane and motor fuels distribution business from Griffith Energy Services, Inc. (\"Griffith\") for an aggregate purchase price, including working capital for approximately US $75 million in cash.Griffith is a US distributor of a broad range of liquid fuels and propane gas, serving markets in Connecticut, Pennsylvania and Rhode Island. Griffith's also provides its customers with a broad range of services, including heating, ventilation, air conditioning repair and other related services.Grant Billing, Chairman and Chief Executive Officer of Superior, stated, \"The closing of this transaction continues Superior's strategy of expanding and consolidating its existing US heating oil distribution business in conjunction with its Energy Services growth strategy. The experienced operating staff associated with the newly acquired assets have joined the Superior team and we look forward to working with them to build our business.\"The heating oil and propane distribution business is highly fragmented throughout the north-eastern United States and eastern Canada. Superior intends to pursue additional acquisition and consolidation opportunities in Energy Services, enhance the acquired propane and service offerings as well as expand heating oil distribution at some of Superior Propane's current locations.The purchase price for these assets was financed with the net proceeds of approximately CDN $48.0 million raised from Superior's bought deal common share public offering completed on November 26, 2009 with the remaining balance being satisfied by Superior drawing on its $570 million syndicated credit facility. Superior's Executive Vice- President and Chief Financial Officer, Wayne Bingham commented, \"Superior continues to have excellent access to capital and benefit from strong support received from its investors and lending syndicate.\"About the CorporationSuperior is a diversified corporation. Superior holds 100% of Superior Plus LP, a limited partnership formed between Superior General Partner Inc., as gen...