W.G. Johnson Oil Company

Service Type: Valuation Services, M&A

Client: W.G. Johnson Oil Company

Client Description: Headquartered in Corsicana, TX, the Company was founded in 1985 when Bill Johnson purchased the distributorship and its Exxon branded agreement from its previous owner. Johnson is a fuel and lubricants distributor for the Shell and Exxon brands to independent operators across East Texas. In addition, the Company operates its own convenience retail network throughout Corsicana and East Texas.

The Trigger:

  • The Client sought retirement from the industry after growing business over the course of 36 years.

The Project:

  • Corner Capital performed a Fair Market Valuation for W.G. Johnson Oil Company and outlined strategic options for the Company. The Company decided to pursue a structured sale process through Corner Capital.
  • Corner Capital sourced proposals from each of the potential buyers that it engaged under a non-disclosure agreement and sharing of the marketing material in Corner Capital’s Confidential Information Memorandum and data room. After negotiating the most competitive Letters of Intent, Cole Distributing Company was selected as the winning bidder to acquire W.G. Johnson Oil Company’s business assets.

The Solution:

  • Because the Company operated in multiple channels, it was able to optimize value by targeting convenience retail, lubricants & commercial fuels specialists who would value each segment appropriately to conclude a transaction.

The Result:

  • The Client’s operations and business assets were successfully marketed and sold to Cole Distributing Company and Kim’s Convenience Stores, which closed in December 2021.