By Aimee Chanthadavong
7-Eleven Stores has completed its acquisition of Mobil Oil Australia’s retail fuels business taking its retail footprint from 400 to more than 650.
Tracy Hammon, 7-Eleven spokesperson, told Retailbiz that Mobil’s retail fuel business has been looking to sell for quite some time.
“There was an initial offer from Caltex but the ACCC knocked them back due to the fear that’d hold too much of the market share so 7-Eleven made the announcement to buy the business on May 27 this year,” she said.
The acquisition comprises of more than 250 company-owned or leased Mobil service stations, primarily located in the metropolitan areas of eastern Australia.
“7-Eleven has offered all agents the first rights to franchise under the 7-Eleven brand, we will also keep all corporate employees for 15 to18 months before we transform the Mobil stores to 7-Eleven stores. And we will also retain and offer for all the employees throughout that period to stay with us,” Hammon said.
According to Hammon, most Mobil sites will be converted into 7-Eleven stores by the end of 2011.
The acquisition now positions 7-Eleven as the market leader in convenience retailing creating a merged entity with sales in excess of $2.84 billion.