BP Products has announced it will be purchasing TravelCenters of America.
The acquisition, which is subject to regulatory and TravelCenters of America shareholder approval, will be for $1.3 billion in cash.
TA’s network of highway sites complements BP’s existing predominantly off-highway convenience and mobility business, enabling TA and bp to offer fleets a seamless nationwide service.
In addition, bp’s global scale and reach will, over time, bring advantages in fuel and biofuel supply as well as convenience offers for consumers. It will provide options to expand and develop new mobility offers including electric vehicle (EV) charging, biofuels, renewable natural gas (RNG), and later hydrogen, both for passenger vehicles and fleets.
Transitioning to EVs by 2030
With the purchase, BP aims to significantly grow its investment through this decade.
Plus, BP’s goal is to have half its annual investment to go into these transition growth engines by 2030.
Over 2023-2030, around half of its cumulative $55-65 billion transition growth engine investment will go into convenience, bioenergy, and EV charging.
Bernard Looney, CEO bp, said: “This is bp’s strategy in action. We are doing exactly what we said we would, leaning into our transition growth engines. This deal will grow our convenience and mobility footprint across the US and grow earnings with attractive returns. Over time, it will allow us to advance four of our five strategic transition growth engines. By enabling growth in EV charging, biofuels and RNG and later hydrogen, we can help our customers decarbonize their fleets. It’s a compelling combination.”
The acquisition is expected to bring around 280 TravelCenters of America sites, spanning 44 US states nationwide, into the bp portfolio.
These travel centers, which average around 25 acres, offer a full range of facilities for vehicles and fleet trucks, including more than 600 full-service and quick-service restaurants, as well as truck maintenance and repair services.