DCC Propane enters Northeastern market

DCC Propane LLC, a division of DCC plc, of Roberts, Illinois, acquired the NES Group, headquartered in Brooklyn, Connecticut. The transaction closed on Sept. 2.

NES Group markets, sells and delivers propane and other related products and services to residential and commercial customers in Connecticut, Massachusetts and Rhode Island. The business employs about 70 people and has more than 22,000 active customers. The company operates under the brand names Saveway Petroleum, Northeast Oil & Propane, Uncas Gas and Buy-Rite Fuel from three office locations and two bulk storage facilities.

“Selling our business was our family’s long-term plan,” says David Scott, co-owner and president of the NES Group. “We think that the Saveway Petroleum, Northeast Oil & Propane, Uncas Gas and Buy-Rite Fuel brand names have a tremendous value to DCC Propane, who we know will take it to the next level, especially working with our management team.”

DCC Propane is composed of propane retailers across the U.S., serving residential, agricultural, commercial and industrial customers. DCC Propane includes Rocket Propane, a wholesale supplier of propane, and Rocket Supply, a supplier of propane and anhydrous trucks, parts and service. DCC Propane employs more than 500 people across its operations in 14 states.

NES Group is DCC Propane’s first acquisition in the Northeast.

“Northeast Oil & Propane and Saveway Petroleum presented us with an opportunity to enter the New England market in a big way,” says Matt Dantinne, CEO of DCC Propane. “The acquisition provides DCC Propane a well-developed set of brands and an asset base managed by an extremely capable operating team.”

The acquisition of NES Group is DCC Propane’s second material bolt-on acquisition in the U.S., following the acquisition of Pacific Coast Energy in 2019.

Cetane Associates served as the sole arranger and financial adviser to the NES Group. Cetane advisory services included an initial valuation opinion, marketing the business through a confidential process, assisting in the negotiation of final deal terms and coordination of the due diligence process. The transaction was managed by team members Steve Abbate, Joshua Wolf and Fred Lord.

Featured photo: designer491/iStock / Getty Images Plus/Getty Images