10.17.18 Wednesday
Sunoco LP Completes the Acquisition of BRENCO Marketing Corporation’s Fuel Distribution Business
By: P. A. (Andy) Weber III
0 Comments

College Station, Texas - Corner Capital Advisors is pleased to announce the successful sale of Brenco Marketing Corporation (“Brenco”) to Sunoco LP (NYSE: SUN) effective October 16th, 2018. The acquired wholesale fuels business distributes approximately 95 million gallons of gasoline and diesel annually across a network of approximately 160 dealer and commission agent-operated locations and 100 commercial accounts in Central, Southeastern and Eastern Texas. Brenco additionally conveyed the fee-simple interests in 6 company-owned commission agent-operated locations and entered into a bulk plant lease with Sunoco as the lessee in this transaction. The acquisition is consistent with Sunoco’s strategy of utilizing its scale to grow its core fuel distribution business.

The Broach family has been associated with petroleum marketing since 1924 when J.S. Broach became the first Sinclair Oil and Refining Company bulk agent in Brazos County, Texas. In 1974, J.S. Broach’s son, Kelley, took over the business when he resigned from the Texas A & M University system and assumed the business assets. Over the next decade, Broach Oil Company became one of the largest wholesale fuel distributors in Texas. In 1982, the company acquired a Shell jobbership and became the largest distributor of Shell products in the Eastern part of Texas. Kelley’s sons, Donald Broach (President & CEO) and Kenny Broach (Vice - President) have led and grown the business over the past 30 years.

Donald Broach, CEO of Brenco Marketing Corporation said, “Selling our family’s business was a tough and emotional experience. We were pleased to work with the Sunoco team through this transition, and we know that our customers are in good hands. The team at Corner Capital provided invaluable assistance to our company and our family throughout our entire process. Their expertise and professionalism helped get a complicated transaction across the finish line.”

In assisting Brenco Marketing, Carl Ray Polk, Jr. stated “I’ve known and respected the Broach family for twenty-five years – we appreciate their confidence and trust in helping them with this process. Don and Kenny built a great company that will be in good hands as our industry continues to evolve.”

About Corner Capital

Founded in 2006, Corner Capital provides investment banking advisory services to entrepreneurs, operating companies, financial institutions, and professional investors, specifically focused on the downstream segment of the oil and gas industry.

About Sunoco LP

Sunoco LP (NYSE: SUN) is a master limited partnership that distributes motor fuel to approximately 9,900 retail stores, commission agent locations, independent dealers, commercial customers and distributors located in more than 30 states. SUN’s general partner is owned by Energy Transfer Equity, L.P. (NYSE: ETE).

<< back to blog
“The folks at Corner Capital demonstrated great leadership and industry knowledge managing our financing requests. I was able to consolidate my debt structure, reduce costs, and create capacity to meet our growth needs. I’ve recommended them to my peers and my customers.”
-Jeffrey Magness, Magness Oil Company
“Lard Oil recently engaged Corner Capital Advisors on two projects, first to assist in an acquisition opportunity and the other to manage the process to refinance our Sr. term and revolver facilities. The CCA team brought a wealth of knowledge and expertise and did so under our strict timelines and expectations. I have no reservations of recommending their firm and intend to engage with them as other opportunities present themselves.”
-Johnny Milazzo, President and CEO – Lard Oil Co., Denham Springs, LA
“Corner Capital led us through a strategic analysis of our branded dealer business, interfacing with our Board throughout. When the Board determined to exit that segment, Corner Capital expeditiously executed our structured sale process and outperformed our value expectations.”
-Ken McPherson, The McPherson Companies, Alabama
“Andy Weber and his team at Corner Capital have done exceptional work supporting transactional, valuation, and various proprietary initiatives at our companies. Andy’s extensive industry experience, technical competence, and practical "real world" approach is a valued resource to our organization. The Corner Capital team consistently delivers-----and always in a most timely and impactful manner.”
-M.J. Castelo, Managing Member & President – Andretti Petroleum LLC / Peninsula Petroleum LLC / Humboldt Petroleum Inc.
“Corner Capital successfully negotiated and facilitated my refi project and helped me find additional capital to support my ongoing growth plans. They managed all aspects of the project very well and I would not hesitate to use them again or to recommend them to other marketers.”
-Carlos Garza, La Lomita
“On several occasions, we were approached with different opportunities to exit the industry. Before giving any real consideration to any of those options, my family engaged Corner Capital to provide a Fair Market Valuation for our business. As a result, we furthered our engagement to allow Corner Capital to manage the structured process for our exit strategy. Their knowledge, industry experience, and personal touch provided Lois and me the comfort needed to successfully close our transaction with Sunoco. Without a doubt, a wise decision on our part to bring the Corner Capital team into our process.”
-Jim Kolkhorst, Kolkhorst Petroleum & Rattlers Convenience Stores, Texas
“Corner Capital demonstrated patience and persistence in our negotiations over a year’s time, solving a complex structuring project. The end result was a tremendous amount of value and a great long-term relationship.”
-Rene Anabi, Anabi Holdings North Master, LLC
Menu