In October 2015, private equity firm TDR Capital purchased a minority stake in Euro Garages for £1.3 billion.[4] In October 2016, TDR's European Forecourt Retail Group (EFR) merged with Euro Garages to form Intervias Group, which would later be renamed to EG Group.[5]
The group's acquisitions have been largely funded by debt, with a net debt of nearly £8 billion in March 2023.[6] Since early 2023, the group has sold its U.S. forecourts in a sale-and-leaseback deal, as well as sold most of its UK assets to Asda, Zuber Issa (as EG On the Move) and Yum! Brands in an effort to reduce this debt.[7][8]
In October 2006, the group began rolling out Subway concessions at its forecourts.[11]
By July 2007, the group had formed partnerships with Shell and Texaco, as well as Spar and Costcutter for grocery and merchandising.[12]
By February 2009, Euro Garages had 73 forecourts across North England and the Midlands.[13]
In July 2009, Euro Garages acquired its first motorway service area, Rivington services, and invested £12.5 million in refurbishing it.[14] In the same month, the group partnered with JJ Beano's to deploy Coffee Nation dispensers to its sites.[15]
In January 2010, the group began franchising Starbucks locations, and in November of that year began a franchise agreement with Burger King.[16]
In February 2013, Euro Garages acquired 45 Esso petrol stations in North England and Wales from ExxonMobil, who were offloading their forecourt sites to focus on their core production and refining business.[17][18] In the same month, the group acquired a number of vacant Little Chef premises, to transform into Starbucks franchises.[19]
In July 2013, the group entered into a trial agreement with Greggs, who wanted to enter the food-to-go sector.[20] Also around the same time, the group had a brief partnership with Valero Energy.[21]
In January 2014, Euro Garages acquired another 48 Esso forecourts in the Midlands, nearly doubling Euro Garages' reach to 180 sites across the UK.[22] In April 2015, the group acquired another 104 Esso forecourts.[23] In October 2015, the group purchased 68 forecourts from Shell.[24]
TDR Capital and international expansion (2015–2023)
In October 2015, TDR Capital purchased a minority stake in Euro Garages.[25]
In February 2016, Euro Garages formed a franchise partnership with KFC.[26]
In October 2016, Euro Garages merged with TDR Capital's European Forecourt Retail group (EFR), to create Intervias Group, a new group comprising 1,450 locations, with a presence in the UK, France, the Netherlands, Belgium and Luxembourg.[27]
In January 2017, Intervias Group began a trial to roll-out Sainsbury's Local to forecourts in the UK, though these were unsuccessful and were changed to Spar.[28] The group would later collaborate with Sainsbury's again to create Sainsbury's on the Go, though this concept was discontinued later on as well.[29]
In February 2017, Intervias Group purchased 78 UK properties from Kout Food Group, this including all 70 Little Chef sites (some with attached Burger King and Subway franchises) and 8 standalone Burger King sites.[30] The group would then transform the Little Chef sites into franchise partners by October 2018.[31] The group founded EG Diner as a stopgap in January 2018, when its licence to use the Little Chef name expired, ending the Little Chef brand after almost 60 years.[32]
In August 2017, EG Group opened its first hotel site, a former Travelodge hotel site in Monmouth, Wales, reopening it as Raglan Lodge. Another former Travelodge hotel site location at Rivington Services was acquired and reopened as Rivington Lodge.[33]
In November 2017, the business secured approximately 1,000 petrol stations from Esso in Germany, which would be transferred and integrated into the existing network by October 2018.[34]
In December 2017, Intervias Group announced a partnership with Krispy Kreme in the UK.[35]
In January 2018, Intervias Group announced that it had completed the acquisition of circa 1,200 sites in Italy from Esso.[36] In April 2018, Intervias Group completed the acquisition of a portfolio of 97 sites in the Netherlands to supplement is existing network in the country.[37]
On 5 February 2018, Intervias Group announced that it would purchase nearly eight hundred Kroger convenience stores for $2.15 billion.[38] In December 2018, EG Group completed its acquisition of 225 sites of Minit Mart from Travel Centers of America LLC for upwards of US$330m.[39]
On 9 November 2018, Australian retailer Woolworths announced to the Australian Securities Exchange it had entered into a binding agreement to sell its 540 fuel convenience sites to EG Group for A$1.72bn. This created EG Australia.[40]
In July 2019, EG Group completed its acquisition of fifty four Fastrac branded sites in the United States,[41] and announced a deal to acquire sixty nine sites operated by Certified Oil, also in the United States.[42] On 31 July 2019, EG Group announced having entered a binding agreement to purchase Cumberland Farms.[43][44][45] EG America has become the nation's fourth largest convenience store chain following 7-Eleven's purchase of Speedway, and with Circle K and Casey's occupying the other spots ahead of EG America.[46][47] Some EG America locations have begun offering franchised food concepts at their locations, such as Subway, Burger King, Sbarro, and Hunt Brothers Pizza, to compete better with chains that have long-established in-house food products.[48]
Former Loaf 'N Jug now a Kroger's Smith's Express in Gillette, Wyoming
In early 2020, EG Group announced that they were opening 150 UK bakery outlets under a partnership with Cinnabon by 2025.[50][51]
In March 2020, EG Group acquired 145 KFC outlets in the UK and Ireland from The Herbert Group.[52]
In October 2020, the Issa brothers and TDR Capital won a deal to buy the supermarket chain Asda from Walmart for £6.8 billion, bringing it back into British hands after more than 20 years.[53] Questions were raised after its auditor, Deloitte, "suddenly quit" to be replaced by KPMG.[54] However, the group indicated there were no auditing disagreements.[54] This acquisition would mean EG Group would work with Asda to create 'Asda on the Move' and 'Asda Express', transforming a number of its existing Spar sites.[55]
In November 2020, EG Group entered into a binding agreement for the acquisition of 18 locations of Schrader Oil in Fort Collins, Colorado.[56]
In May 2021, EG Group bought Leon Restaurants in the UK for a reported £100 million.[54]
In September 2021, EG Group acquired 52 British KFC restaurants from Amsric Group, becoming the largest KFC franchisee in western Europe.[57]
In April 2022, The Wall Street Journal reported that Circle K parent Alimentation Couche-Tard was in talks to buy EG Group. This deal would significantly boost Circle K's presence in several markets including Europe, as well as giving it a location in every US state except Utah.[60]
In May 2022, EG Group attempted to rescue the British convenience store chain McColl's from administration, but lost out to Morrisons.[61][62]
Later in the same month, the group bought 285 petrol stations in Southern Germany from OMV, which were partly supplied by refinery Burghausen. The price was 485 million Euro cash which equals 614 million Euro including pending lease obligations.[63]
Restructure plan (2023–present)
In March 2023, EG sold and leased back 415 of its American convenience stores to Realty Income for $1.5 billion (£1.18bn) to help to drive down its debts.[64]
In May 2023, it was announced that EG Group would spin-off the majority of the UK business to Asda: it would include the majority of the petrol stations, which would be rebranded under the Asda Express sub-brand, Greggs, Subway and Burger King franchises and the Leon Restaurants chain. The Cooplands chain, KFC, Cinnabon and Starbucks franchises and some of the petrol stations would be retained by EG Group, with the forecourts being rebranded to EG On The Move.[65][66] The Issa brothers and TDR Capital already own a majority stake in Asda. The deal was finalised on 31 October 2023.[67][68]
On 6 December 2023, EG Group announced that they would sell their 218 KFC UK and Ireland restaurants to KFC owner Yum! Brands for an undisclosed sum, meaning EG Group will leave the Irish market.[69] The sale was completed in April 2024.[70]
In March 2024, it emerged that Zuber Issa may acquire some assets from EG Group, and then operate them independently, these assets were confirmed to be the Cinnabon franchise and the rest of the petrol station business, although EG Group would keep some Starbucks franchise stores, Evpoint and Cooplands, effectively staying in the UK.[71][72]
Wm Morrison Supermarkets Limited, trading as Morrisons, is the fifth largest supermarket chain in the United Kingdom. As of 2021, the company had 497 supermarkets across England, Wales and Scotland, and one in Gibraltar. The company is headquartered in Bradford, England.
Asda Stores Limited, trading as Asda and often styled as ASDA, is a British supermarket and petrol station chain. Its headquarters are in Leeds, England. The company was incorporated as Associated Dairies and Farm Stores in 1949. It expanded into Southern England during the 1970s and 1980s, and acquired Allied Carpets, 61 large Gateway Supermarkets and other businesses, such as MFI Group. It sold these acquisitions during the 1990s to concentrate on the supermarkets. It was listed on the London Stock Exchange until 1999 when it was acquired by Walmart for £6.7 billion. Asda was the second-largest supermarket chain in the United Kingdom between 2003 and 2014 by market share, at which point it fell into third place. As of August 2024, its market share in the UK is 12.6 per cent.
J Sainsbury plc, trading as Sainsbury's, is a British supermarket and the second-largest chain of supermarkets in the United Kingdom.
Esso is a trading name for ExxonMobil. Originally, the name was primarily used by its predecessor Standard Oil of New Jersey after the breakup of the original Standard Oil company in 1911. The company adopted the name "Esso", to which the other Standard Oil companies would later object.
Cinnabon, Inc., is an American chain of baked goods stores and kiosks, normally found in areas with high pedestrian traffic such as malls, airports and rest stops. The company's signature item is the cinnamon roll. As of December 2017, there are more than 1,200 Cinnabon bakeries operating in 48 countries. Its headquarters are in Sandy Springs, Georgia, United States.
Moto Hospitality Limited, trading as Moto, is a British service station operator which operates 59 motorway service stations across the United Kingdom. It is currently the UK's largest service area operator.
Stuart Alan Ransom Rose, Baron Rose of Monewden, Kt is a British businessman and life peer, who was the executive chairman of Marks & Spencer until 2010, remaining as chairman until early 2011. He was knighted in 2008 for his services to the retail industry and created a Conservative life peer on 17 September 2014, taking the title Baron Rose of Monewden, of Monewden in the County of Suffolk.
On the Run is a flagship convenience store brand developed by ExxonMobil, used at Exxon and Mobil stations in the United States and at Esso and Mobil stations internationally. Alimentation Couche-Tard acquired the On the Run trademark and franchise network in the U.S. in 2009, and Parkland Fuel did the same in Canada in 2016; ExxonMobil retains full ownership of the brand in the rest of the world.
Cooplands is the second largest bakery chain in the UK with over 160 outlets located primarily across Yorkshire, County Durham and Lincolnshire in the United Kingdom. Cooplands produces takeaway food chiefly for the lunch-time trade, specialising in sandwiches, pasties, desserts, cakes, and bread. It competes with other local cafés and takeaway outlets, and national and international high street food chains and franchises.
Little Chef was a chain of roadside restaurants in the United Kingdom; founded in 1958 by the entrepreneur Sam Alper, who was inspired by American diners. The chain was famous for the "Olympic Breakfast" – its version of a full English breakfast – as well as its "Early Starter" and "Jubilee Pancakes". The restaurants were mostly located on A roads, often paired with a Travelodge motel, a Burger King and a petrol station. The chain was also located along motorways in Moto Services, for a time.
Rivington services is a motorway service area in Anderton, Lancashire, England, situated between junctions 6 and 8 of the M61. It is operated by EG On the Move.
In March 2012 Unite trades union warned it was considering a strike over health and safety standards. Unite represents around 2,000 tanker drivers, who deliver fuel to 90% of Britain's forecourts. Although no strike took place, Government action precipitated panic-buying and a woman was seriously injured after following a minister's advice to store extra petrol.
Leon is a fast food chain based in the United Kingdom, established in 2004. The company had around 70 outlets when it was bought by EG Group in 2021.
Kout Food Group K.S.C.C. is a Kuwaiti-based conglomerate, founded in 1982, operating in Kuwait, Jordan, Lebanon, Morocco, the United Arab Emirates, Qatar, Iraq, and formerly in the United Kingdom. The business also offer catering services, import and export of food related items, representation of foreign companies as well as advising others in such businesses.
TDR Capital LLP is a British private equity firm headquartered in London, England.
Motor Fuel Limited is a British operator of filling stations, convenience stores and food service providers in the United Kingdom, founded by Sharad Mohanlal Raja and Sailesh Ranchhoddas Sejpal in 2004.
Mohsin Issa CBE and Zuber Issa CBE are British-Indian billionaire brothers and businessmen who founded Euro Garages in 2001, a Blackburn-based operator of filling stations, convenience stores and food service providers across Europe, the United States and Australia. In October 2020, as part of a consortium with TDR Capital, the brothers became majority stakeholders in the British supermarket chain Asda. From August 2021 to September 2024, Mohsin served as Asda's chief executive.
Park Garage Group is a family-owned British operator of filling stations in the United Kingdom, founded in 1975.
EG On the Move Limited is a British operator of filling stations, convenience stores and food service providers in the United Kingdom. It was founded in June 2023 by Zuber Issa and Imraan Patel, both of EG Group, but to be run as a separate business to EG Group.
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