One of the Biggest Acquisitions of 2020: 7/11 Owner buys the Speedway gas station chain for $21 billion!

Speedway gas station will be switching owners soon…

Marathon Petroleum corporation $MPC will sell off the Speedway chain for $21 billion in cash to the Japanese retail giant Seven & i that owns 7-11.

This is a brave deal for the Japanese company in the middle of a pandemic with retail prospects, particularly for gasoline, still uncertain.

This is an additional evidence that companies are moving fast to borrow given the availability of cheap money from Governments and Central Banks all over the world.

The government intends for companies to borrow and invest is to partially offset the consumption decline from the pandemic.

For Marathon, this is good relief! They are realizing the rewards of a well run retail chain.

The cash comes at the right time to pay off the debt from the acquisition of Andeavor, another large refiner, last year.

Their debt load will lighten to about $11 billion or just 33% Debt to Equity.

The company can now focus on refining and unlocking its true value!

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