BP PLC , which has its U.S. headquarters in Houston, will boost its footprint along highways with a $1.3 billion acquisition.
The deal will add approximately 280 sites across 44 states to BP's portfolio. As part of the deal, TravelCenters will enter into amended lease agreements with Massachusetts-based Service Properties Trust for long-term real estate access, BP added. The acquisition price of $86 per share represents an approximately six-times multiple based on TravelCenters' earnings before interest, taxes, depreciation and amortization from the fourth quarter of 2021 to the third quarter of 2022. After adding EBITDA for BP immediately, the addition of TravelCenters is expected to create an additional $800 million in EBITDA by 2025, BP said.
Over time, BP expects to offer options such as EV charging, biofuels, renewable natural gas and later hydrogen, both for passenger vehicles and fleets, through its TravelCenters acquisition. In late January, TravelCenters said it was working with fast-charging company Electrify America to install 1,000 individual EV chargers at 200 TA locations along U.S. highways over the next five years.