MFA Oil Company Extends Operational Reach in Eastern Kansas
February 23rd, 2016
MFA Oil Company, the seventh largest propane retailer in the United States, announces it has acquired S&S Oil and Propane Company, Inc. (S&S), a propane, refined fuels and lubricants retailer based in Emporia, Kan. The deal includes 17 propane storage facilities, five bulk fuel storage facilities, five card refueling locations and an office in Emporia.
“This is a major acquisition that will significantly broaden our business in Kansas and fits in well with the Lybarger Oil purchase we made in September 2015,” says Don Smith, MFA Oil director of mergers and acquisitions. “The volume of business we’ve acquired from S&S and Lybarger is larger than all of MFA Oil’s previous bulk fuel and propane acquisitions for the last five years combined.”
Acquiring S&S has added 5.2 million gallons of annual propane sales and 5.1 million gallons of annual refined fuel sales to the company. S&S covers a 24-county trade territory stretching from Kansas’ eastern border to the Wichita, Kan. outskirts and from Interstate 70 southbound to U.S. Highway 54.
“MFA Oil has extensive experience working with rural communities and their commitment to customers mirrors what we’ve practiced with our clientele for almost 60 years,” says Joyce French, S&S vice president and co-owner. “My brother, Jim Shepherd (S&S president and co-owner), and I are excited to find such a reputable company to continue servicing our customers in the future.”
MFA Oil plans to continue evaluating acquisition opportunities in its existing market area and other states where it can expand its footprint.
“We’re really excited about the high-quality portfolio of assets we’ve been able to acquire recently,” says Jon Ihler, MFA Oil vice president of sales and marketing. “These acquisitions bring great value to our member-owners and great opportunities for us to grow in the future.”
This is MFA Oil’s fourth acquisition of its fiscal year, which began September 1, 2015. Previous acquisitions include Lybarger Oil, Inc. in Garnett, Kan., Elaine Petroleum Distribution, Inc. in Elaine, Ark., and R&S Propane, Inc. in Dibble, Okla.