With the assistance of a Santa Barbara M&A advisory firm, Johnson Oil Co. has announced that a Texas holding company has acquired its commercial fuel, transport and branded lubricants businesses.
As a result of the deal, Gonzales, Texas-based Johnson Oil will be a fully integrated and wholly owned subsidiary of F.S. Holdings Inc., parent company of Texas Enterprises Inc.
The current Johnson Oil management team will remain in place, and F.S. Holdings will operate the business segment under the name of Johnson Oil Co. for the foreseeable future.
The combination will fully integrate the companies, providing a more extensive and successful distribution network throughout Texas through a single-source operation.
Founded in 1958 by Fletcher Johnson, Johnson Oil Co. operates throughout Texas, including the Eagle Ford Shale and Permian basins, and Central and South Texas.
The company features ExxonMobil lubricants as well as other quality brands, offering customers a wide variety of best-in-class lubricants, greases and specialty products for a wide range of applications and markets, in addition to transportation and commercial fueling services.
Johnson Oil and its Board of Directors, assisted by Santa Barbara-based Corner Capital Advisors LLC, embarked on a scenario analysis of its strategic options after Johnson died in 2013 at age 82. After reviewing potential options, the Johnson family decided a sale of its commercial fuel, transportation and lubricant assets was the appropriate path.
“Exiting a family business founded in 1958 requires thoughtful consideration,” said Andy Weber, founder of Corner Capital Partners LLC. “We are extremely pleased that the family and the board trusted Corner Capital and its team to assist and guide the company through the entire process.
“It has been a pleasure to work with the Johnson family and the board.”
The transaction represents the conclusion of the sale process and the final transition of the Johnson family businesses the company directors had embarked on. In June 2015, Johnson Oil sold its convenience retail and dealer fuel supply businesses to the Southwest Division of Circle K.
Corner Capital Advisors LLC is a national advisory firm specializing in downstream energy since 2006. It provides M&A and specialty advisory to all constituencies in the downstream energy industry, including convenience store chains, fuel wholesalers and distributors, lubricant retailers and distributors, propane and heating oil distributors, and transportation companies.
Click here for more information about Corner Capital Advisors LLC.