Lakes Gas acquires Foss-Johnson Oil

Lakes Gas acquired the propane and refined fuels delivery business of Foss-Johnson Oil, based in Walcott, North Dakota.

Foss-Johnson Oil was founded by Ernie Johnson, who initially named the company Johnson Oil. In 1955, the business was acquired by Ray Foss, and the company was given its current name. Foss-Johnson Oil sells and delivers propane, heating oil and diesel fuel to residential and light commercial customers. In the early 2000s, the company built more storage and added buildings to its Walcott facility and later added a retail refueling station with gasoline and diesel.

“We are very happy that our company will become a part of Lakes Gas,” says Penny Cirks, owner of Foss-Johnson Oil, in a press release. “We’ve built a great reputation for exceptional service, which we know is a high priority for Lakes Gas, as well.”

Family-owned and -operated Lakes Gas is now one of the largest propane providers in the Midwest, the company says. It is based in Wyoming, Minnesota, and has 48 locations throughout the Upper Midwest.

“We’re pleased to be working with the dedicated Foss-Johnson group and are proud to carry on their legacy,” says Trent Hampton, president and CEO of Lakes Gas. “We take pride in our customer service professionals. This is a very good match.”

Cetane Associates served as the sole arranger and business advisor to Foss-Johnson Oil. Cetane advised on the sale, including an initial valuation opinion, marketing the business through a confidential process, assisting in negotiating the final deal terms and coordinating the due diligence process. The transaction was managed by team members Joe Rosengrant, Fred Lord and Barrett Conway.

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