Superior Plus acquires wholesale LPG distributor United Pacific Energy

Superior Plus Corp. acquired all of the issued and outstanding shares of United Liquid Gas Co., which operates under the trade name United Pacific Energy (UPE), an independent wholesale propane and butane distributor in California.

The acquisition will be funded by drawing on Superior’s existing credit facility and is anticipated to close early in the fourth quarter. UPE operates four rail terminals with about 2.9 million gallons of liquid storage capacity, Superior Plus reports. The company serves over 115 wholesale customers, which include retail propane distribution companies, primarily in the California market.

“The acquisition of UPE is consistent with our Evolution 2020 objective to expand the wholesale propane business through opportunistic acquisitions across North America and demonstrates our commitment to further expand our wholesale propane marketing presence in the U.S.,” says Luc Desjardins, president and CEO of Superior Plus. “The acquisition of UPE is our fifth in 2018 and fourth tuck-in acquisition.”

According to Shawn Vammen, senior vice president of Superior’s supply portfolio management business, the acquisition adds volume to the company’s portfolio, diversifies its customer and geographical base and includes a group of assets with coastal presence.

*Featured image: iStock.com/designer491