CrossAmerica Partners LP has entered into an amended and restated revolving credit facility agreement with a group of lenders that increases its borrowing capacity from $750 million to $925 million, according to a Monday press release.
The deal sets the company up to pursue further growth, and proceeds were used to pay off a $200 million credit facility that one of CrossAmerica’s subsidiaries used to buy 106 7-Eleven Inc. and Speedway assets in 2021.
"We are pleased to finalize this amendment and restatement of our revolving credit facility with our banking partners,” said Charles Nifong, president and CEO of CrossAmerica. “This amended facility extends our maturity profile, allows us to consolidate our borrowings into one credit facility and provides us with the financial flexibility to continue to pursue our strategic initiatives into the future.”
This expanded borrowing capability comes as c-store M&A has ramped up in recent months. Additionally, many chains are choosing to grow through new builds.
The amended facility matures on March 31, 2028, pushed back from April 1, 2024 under the original agreement, and may increase by as much as $350 million if certain conditions are met.
Allentown, Pennsylvania-based CrossAmerica Partners owns and operates more than 250 convenience store chains in 10 states under a number of brands, including Joe’s Kwik Marts, Hy-Miler Convenience and Rocky Top Markets. The company also distributes fuel to around 1,750 sites.
