TravelCenters of America is moving forward with plans for a May 10 shareholder vote on the proposed sale of the company now that a federally imposed 30-day waiting period has expired without any action by the U.S. Federal Trade Commission, the company said Tuesday.
If the $1.3 billion sale is approved by shareholders, the company expects the deal to be completed by May 15, the Westlake, Ohio, company said in a news release Tuesday.
The waiting period imposed by the Hart-Scott-Rodino Act is intended to give regulatory agencies time to request more information if there are concerns that a proposed transaction would violate antitrust regulations or harm competition in a business sector.
BP has proposed buying TA for $86/share, which TA's board of directors supports. The board has rejected a competing offer from Arko Corp. to purchase the travel center chain for $92/share. The TA board said BP's offer is superior because Arko would need to obtain financing and its credit rating is unacceptable to the landlord company that owns most of the properties occupied by TA travel centers.
About 280 travel centers in 44 states are included in the sale to BP. Observers believe the purchase will help BP compete in the volatile U.S. diesel market against other huge chains such as Love's Travel Stops & Country Stores and Pilot Flying J.
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--Reporting by Steve Cronin, scronin@opisnet.com; Editing by Barbara Chuck, bchuck@opisnet.com
(END) Dow Jones Newswires
April 11, 2023 11:27 ET (15:27 GMT)
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