Colonial Group to acquire century-old Foster Fuels in family energy deal
What's the deal? Colonial Group, Inc.Dealroom has a profile for this one. Try Dealroom →, a Savannah-based diversified family of companies, has agreed to acquire Foster FuelsDealroom has a profile for this one. Try Dealroom →, a Virginia-based provider of fuel, lubricants, propane, and mission-critical energy services. Financial terms were not disclosed.
What each side brings: Founded in 1921 and headquartered in Brookneal, Virginia, FosterDealroom has a profile for this one. Try Dealroom → Fuels has grown from a local fuel provider into a diversified energy company. Its Mission Critical services offer guaranteed emergency fuel response for critical industries and natural disasters.
What's the endgame? The deal expands Colonial's geographic reach and product portfolio across commercial, industrial, residential, agricultural, and transportation customers. Foster Fuels will keep operating under its established brand and leadership.
Why now? The two companies have done business together for decades, and both trace their histories back more than a century. "Deciding to sell our century-old family business was hard. Deciding who to sell it to was easy," said Watt Foster, president and CEO of Foster Fuels.
What changes for customers and staff? Colonial says all Foster Fuels employees are expected to remain, and customers can expect continuity in service commitments and day-to-day support. The stated goal is to add resources and investment while preserving local responsiveness.
"It is rare to find two companies, each with more than a century of history, whose values, cultures, and commitment to their customers and communities align as closely as ours do," said Christian Demere, president and CEO of Colonial Group.
The signal: The acquisition reflects continued consolidation in the fragmented US energy distribution sector, where larger family-owned operators are absorbing century-old regional players to broaden their service footprints.
Read more: thecoastalbuzz.com
Image credit: didbygraham
