Case Study: Matrix Announces Boyett Petroleum’s Retail Divestiture and Wholesale Acquisition

Boyett Petroleum, Inc. (“Boyett” or the “Company”) is a third generation, privately held company headquartered in Modesto, CA. Boyett was founded in 1940 as an operator of gas stations and has since grown to become one of the largest independent fuel distributors in the United States, supplying fuel to more than 500 service stations and directly operating ten high-performing convenience stores operating under the Cruisers store brand.

Matrix was retained to perform a valuation of the Company’s ten Cruisers stores under two scenarios, including and not including the real estate in a sale. After considering the likely valuation that could be achieved, Boyett retained Matrix to advise on the divestiture of the Cruisers stores.

A successful sale of the stores would allow the Company to focus on and redeploy capital to its growing wholesale fuels distribution business.

The objective was to customize, execute, and complete a confidential sale process in a way that would allow Boyett to realize maximum after-tax value. The Company also desired to retain the underlying real estate at the nine company-operated stores they owned in fee and subsequently lease this highly desirable real estate to the buyer.

Matrix marketed the Cruisers stores, with or without real estate, through a confidential, targeted, structured sale process. Multiple competitive offers were received. One bidder, United Pacific, offered to sell its sizeable wholesale fuels distribution business to Boyett in a separate transaction should its offer be accepted.

United Pacific’s unique transaction structure allowed Boyett to simultaneously achieve its goals of exiting retail, retaining the fee real estate at nine of the Cruisers stores, and growing its wholesale fuels distribution business.

The acquisition of United Pacific’s wholesale fuels business was completed in April 2023 and the sale of the Cruisers stores was completed in May 2023.

Matrix provided sell-side and buy-side advisory services on the transactions, including valuation advisory, marketing the Cruisers stores, negotiation of purchase agreements, negotiation of the post- closing lease agreements for the real estate properties retained by Boyett and coordinating the due diligence processes.

 Cedric C. Fortemps, CFA

Co-Head of Downstream Energy & Convenience Retail Investment Banking

cfortemps@matrixcmg.com (804) 591-2039

www.matrixcmg.com

Richmond • Baltimore • New York

About Matrix Capital Markets Group, Inc.

Founded in 1988, Matrix Capital Markets Group, Inc. is an independent, advisory focused, privately-held investment bank headquartered in Richmond, VA, with additional offices in Baltimore, MD and New York, NY. Matrix provides merger & acquisition and financial advisory services for privately-held, private-equity owned, not-for-profit and publicly traded companies. Matrix’s advisory services include company sales, recapitalizations, capital raises of debt & equity, corporate carve outs, special situations, management buyouts, corporate valuations and fairness opinions. Matrix serves clients in a wide range of industries, including automotive aftermarket, building products, car washes, consumer products, convenience retail, downstream energy, healthcare and industrial products. For additional information or to contact our team members, please visit www.matrixcmg.com.

Securities offered by MCMG Capital Advisors, Inc., an affiliate of Matrix Capital Markets Group, Inc., Member FINRA & SIPC