INDUSTRY ROUNDUP
Financing Moves Signal Growth for the C-store Industry Refuel gets a $511-million capital infusion, while Foxtrot receives $100 million industry is grabbing the attention of the investor community.
THE CONVENIENCE STORE
Charleston, S.C.-based Refuel Operating Co. LLC received a $511-million capital infusion as the operator of more than 175 convenience stores in North Carolina, South Carolina, Texas, Mississippi and Arkansas continues its growth strategy. First Reserve, a middle-market private equity firm focused on the energy and industrials sectors, tapped Sixpoint Partners to close the transaction, named the First Reserve Refuel Fund. Refuel entered into a partnership with First Reserve in April 2018 to form FR Refuel and bring enhanced capitalization to support an aggressive, acquisition-based growth strategy. The First Reserve Refuel Fund acquired Refuel from a legacy First Reserve fund. The new fund also provides additional “dry powder” for Refuel to continue pursuing its growth strategy. “Given the increasing selectivity we are seeing in the market around single-asset transactions, we view robust demand for the fund as a testament to First Reserve’s reputation and the strength of the underlying Refuel platform,” said Shawn Schestag, partner and head of capital solutions for Sixpoint Partners.
10 Convenience Store News C S N E W S . c o m
In addition, Chicago-based Foxtrot Market announced $100 million in new Series C funding led by D1 Capital Partners. This brings the company’s total funding to date to $160 million, which Foxtrot will use to open 25 new stores in 2022. The new locations will include its entrance into Boston’s Back Bay neighborhood; its debut in Austin, Texas, with two stores on South First and The Drag; plus notable openings in Chicago’s iconic Willis Tower, Tribune Tower and near Wrigley Field. In 2023 and beyond, Foxtrot plans to continue expanding into additional markets, such as New York City, Nashville and Miami, while simultaneously expanding its presence in existing areas of operation. The retailer first expanded to the East Coast in March 2021. With the new funding, Foxtrot also will focus on scaling its merchandising model, which seeks to meld the best of local artisans with core pantry essentials, favorite treats, and handpicked wines, spirits and local beers. Driven by customer demand, Foxtrot is investing in a deeper private label assortment around mealtimes, doubling down on its core offerings of coffee, ready-to-eat cafe meals and wine — all optimized for both delivery and pickup.
