Sunoco LP acquires BRENCO’s fuel distribution business for $24mn

Leading U.S. fuel distributor Sunoco has expanded its business with the acquisition of BRENCO’s operations.

Sunoco LP has completed the acquisition of BRENCO Marketing Corporation's fuel distribution business for around $24 million.

The acquired wholesale fuels business distributes approximately 95 million gallons of fuel annually across a network of some 160 dealer and commission agent-operated locations and 100 commercial accounts in Central and East Texas.

The acquisition is consistent with Sunoco's strategy of utilizing its scale to grow the core fuel distribution business. Sunoco LP is a master limited partnership that distributes motor fuel to approximately 9,900 retail stores, commission agent locations, independent dealers, commercial customers and distributors located in more than 30 states.

“Selling our family’s business was a tough and emotional experience,” said Donald Broach, CEO of Brenco Marketing Corp.

The Broach family has been associated with petroleum marketing since 1924, when J.S. Broach became the first Sinclair Oil & Refining Co. bulk agent in Brazos County, Texas.

This marks another step in Sunoco’s new focus on becoming a national leader in the fuel distribution business after it shifted away from retailing last year.