Pugh-Apollo Acquires Veteran’s Oil

Pugh Apollo logoPugh Lubricants and Apollo Oil (“Pugh-Apollo”) announced the acquisition of Veteran’s Oil, headquartered in Birmingham, AL. Veteran’s Oil is a leading regional distributor of fuels, lubricants, diesel exhaust fluid (DEF), and related products and services for the automotive, commercial, and industrial markets. Veteran’s Oil covers the Alabama and Georgia markets from distribution centers in Birmingham, Montgomery and Atlanta. This geography borders the existing company footprint that includes North Carolina, South Carolina, Virginia, Tennessee, Kentucky, Ohio, and West Virginia.

VeteransLogoPugh-Apollo President Mike Pugh said, “The addition of Veteran’s Oil is a great fit for our organization and will strengthen our ability to serve customers throughout the Southeast. We are excited to expand further into Alabama and Georgia with a great new partner who shares our commitment to delivering quality products and providing great service.” Jason Musgrove, General Manager, Veteran’s Oil said, “This is a great opportunity to bring Veteran’s top quality workforce and exceptional customer service into an organization with similar values.”

Key strategic benefits of the acquisition include:

  • Augmented product offerings and deeper market footprint. The larger distribution reach offers suppliers unmatched access to customers in the expanded operating region and provides a greater selection of products and services for customers.
  • Enhanced service for customers. The combination of the companies’ resources allows for accelerated investment in technology and personnel, reinforcing the company’s leading position in service to its customers.
  • Investment in employees. The larger and growing organization allows for enhanced training, technology, and career advancement opportunities for employees, making the firm a preferred employer in the markets served.
  • Plans to pursue further expansion. The company plans to pursue organic and inorganic growth opportunities while continually investing in its value proposition to customers and suppliers.

The transaction was effective as of September 26, 2017.

About Pugh Lubricants and Apollo Oil (“Pugh-Apollo”)
Pugh-Apollo is a distributor of nationally branded and private label finished lubricants, antifreeze, and other ancillary product lines throughout the Carolinas, Virginia, Tennessee, Kentucky, Ohio, West Virginia and portions of Georgia, Alabama, Illinois, Indiana, Mississippi, and Arkansas. For additional information, www.PughLubricants.com and www.ApolloOil.com.

About Veteran’s Oil
Veteran’s Oil is a distributor of nationally branded and private label fuels, finished lubricants, antifreeze, and other ancillary product lines throughout Alabama and Georgia. For additional information, please visit www.veteransoilinc.com.

PQIA Finds “Two More Bad Apples”

The Petroleum Quality Institute of America (PQIA) put two more products on its “DON’T BUY” list.

In the day following the PQIA Lubricant Quality Summit on September 14th, PQIA said it stopped by several convenience stores located within a few blocks of the hotel where the Summit reception was held. To its disappointment, PQIA reported that it found two products on the shelves that immediately raised concern due to labeling issues. The PQIA says that in addition to what’s on the labels being a concern, most concerning is what the found in the bottles when tested. CLICK FOR MORE

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Report on Retail Lubricant Prices

JobbersWorld Brings Back its Retail Price Tracker

jwrptFor those who have been with JobbersWorld since its inception in 2001, you may remember we provided a retail price tracker “Stats and Facts” in each of our monthly issues. Whereas JobbersWorld continued to track retail prices over the years, the price tracker was not carried over when we switched from a print to an electronic version of JobbersWorld.  Well its back!

Moving forward, JobbersWorld will report on retail prices at the leading big box store and prices at five of the leading auto parts stores. The tracker includes prices by brand and category (synthetic, synthetic blend, high mileage, and conventional).

CLICK FOR MARCH 2017 PRICES

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Add One More to Round Two of Price Increases

Smitty’s Supply announced today that due to increases in the cost of raw materials used in the manufacturing of finished lubricants, it will increase the price of both its bulk and packaged lubricants.

Bulk and packaged lubricant prices will be increased by 6 to 10% a gallon (depending on product). Greases prices will increase by $0.03 pound. Pour in Treatments will be increased by $0.05 per unit,

These increases are effective July 18, 2016.

Antifreeze, washer solvents, brake fluid, and DEF will be excluded from this price increase.

Like many other lubricant manufacturers, this is round two of recent price increases for Smitty’s. As shown in the table below, Smitty’s first of the year was announced on May 18th.

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Colorado LV I, LLC. (dba CAM2 International, LLC.) Filed For Bankruptcy

Colorado LV I, LLC filed for Chapter 7 Bankruptcy

Colorado LV I, LLC. (dba CAM2 International, LLC.) filed for Chapter 7 Bankruptcy on March 4, 2016 in the United States Bankruptcy Court for the District of Colorado. According to the filing, although the company had $182 million in gross revenue for the fiscal year 2013, its gross revenue from business in 2015 was $0.00. More to come.

Price Increase Summary

Below is a summary of the recent round of lubricant price increases. In light of the lead story above, it’s interesting to see that CAM2 announced two price increases after the date it filed for Chapter 7 Bankruptcy.

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RelaDyne Acquires Lubricants Division of Hollingsworth Oil Company

RelaDyne

RelaDyne Acquires Lubricants Division of Hollingsworth Oil Company

HolingworthRelaDyne announced today the acquisition of the lubricants division of Hollingsworth Oil Company (“HOCL”), a distributor of premium lubricants in Tennessee and Alabama. With HOCL locations in Nashville and Birmingham, this acquisition significantly expands RelaDyne’s geographic density and capabilities within Tennessee and Alabama.

Hollingsworth Oil Company purchased its Lubricants Division in 2007. In the past decade, the company has grown to become one of the region’s top distributors of quality lubricants due to its exceptional associates, customers, and high value of service. Now, this top-tier company is joining the RelaDyne family.

As one of the nation’s leading providers of lubricants, fuel, diesel exhaust fluid (DEF), and industrial reliability services, RelaDyne will be better able to fulfill the needs of its existing Tennessee and Alabama customers as well as provide new products and services to an expanded five-state area with HOCL’s market reach.

“First and foremost, we welcome all the Hollingsworth customers and associates into the RelaDyne family,” says Larry Stoddard, RelaDyne President and CEO. “We feel with high confidence that the greater Nashville and Birmingham marketplace presents an abundant growth opportunity for RelaDyne’s wide breadth of products and services. We are excited and committed to that community through this, our second acquisition in Tennessee and Alabama.” In November 2015, RelaDyne acquired Mid-State Industrial Services of Nashville, thus securing its place in the Mid-South region.

“RelaDyne is such a great fit for our people and our customers,” states Ronnie Hollingsworth, owner and President of Hollingsworth Oil Company (the parent company of Hollingsworth Lubricants). “Because of RelaDyne, we’ll be able to provide our associates with expanded opportunities, and our customers with new products and services we could not previously provide with our resources.” Ronnie, a first-generation family owner, is honored to have the lubricants portion of his family legacy join the rest of the family-owned companies within RelaDyne.

RelaDyne continues to be the “Acquirer of Choice” in the lubricants, fuel and reliability segments. “The Lubricants Division of Hollingsworth Oil Company represents our fifth acquisition of 2016,” says Jeff Hart, who leads RelaDyne’s M&A activities. “We are continually looking to acquire leading businesses with great people and great customers; HOCL is a fine example of that in the lubricant distribution segment. Our M&A team at RelaDyne is focused on adding new geography, new capabilities and more density within our current footprint as we continue to create a national distribution platform.”

RelaDyne’s Current Locations

RelaDyneMap

About RelaDyne
RelaDyne, headquartered in Cincinnati, Ohio, is an industry-leading lubricant, fuel, and diesel exhaust fluid (DEF) distributor providing customers with integrated reliability management services for industrial, commercial, and automotive markets. RelaDyne is also a cutting-edge Reliability Services Provider in the Industrial and Commercial markets through innovative and patent-pending purification processes. RelaDyne was formed in 2010 by the combination of four industry leaders – Mid-Town Petroleum, Inc. (Bridgeview, IL), Oil Distributing Company (Cincinnati, OH), The Hurt Company, Inc. (Houston, TX) and Pumpelly Oil Company (Sulphur, LA) and has since grown to span more than 40 locations serving customers in over 45 states and 22 nations. The company also benefits from the support of its business-building financial partner, AEA Investors LP, which manages funds worth approximately $6 billion of invested and committed capital. For more information, visit www.RelaDyne.com.

RelaDyne Related News:

Leading Midwest Petroleum Distributors Join to Create Lube-Tech & Partners, LLC

Boyer Petroleum, Lubrication Technologies and Moore Oil Company announce merger, expanding geographic reach and core product and service offerings.

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From Left to Right: Scott Haag, Chris Bame, David Boyer

Three of the Midwest’s largest petroleum distributors, Boyer Petroleum (Des Moines, IA), Moore Oil Company (Milwaukee, WI), and the Distribution arm of Lubrication Technologies Inc.  (St. Paul, MN), announced today they have entered into a merger to form Lube-Tech & LTI-Map-NathanPartners, LLC. Under this merger, the new company’s 200 combined employees will provide over 20 million gallons of lubricants and chemicals, as well as a broad portfolio of products and services to over 7,000 customers throughout the Upper Midwest. Lube-Tech & Partners, LLC’s primary geographic service coverage will include Minnesota, Wisconsin, Northern Illinois, Iowa and Eastern North Dakota, South Dakota, and Nebraska.

Lube-Tech & Partners, LLC customers will continue to receive local support from the teams they know and trust, and can expect expanded product and service offerings in the future. The company remains committed to delivering “peace of mind” to its customers by providing solutions that help them improve performance and their bottom-line through lubrication customization, consultative support, and one-stop shopping for equipment, cleaning, recycling services, and energy solutions.

Noteworthy new roles within Lube-Tech & Partners, LLC include David Boyer, President of Boyer Petroleum, who will serve as Director of Sales & Operations for the Iowa Region of Lube-Tech & Partners, LLC, and Andrew Haag, President of Moore Oil Company, who will serve as Vice President of Sales & Marketing.

“Our goal in bringing these companies together is to create a sustainable, multi-generational, family-owned business that will be a leader in providing petroleum solutions for the Upper Midwest and beyond,” said Chris Bame, Chairman of the Board for Lube-Tech & Partners, LLC. “We share a history as strong, family businesses that foster an employee- and customer-centric culture. Our shared mission is to continually help our customers accelerate performance while enhancing our community and the lives of our employees. By joining together, we’re positioning ourselves for accelerated growth and an exciting future.”

“Andrew and I are extremely excited about the future for our employees, customers and community as we merge Moore Oil into Lube-Tech & Partners,” said Scott Haag, Shareholder and member of the Mergers & Acquisitions Team at Lube-Tech & Partners, LLC. “Our industry is rapidly changing which requires our business model to change as well. The great number of talented people on our new team, combined with our size, scale and shared product and service offerings, will allow us to turn the challenges we face into great opportunities.”

“This merger will be positive for our customers, employees and our suppliers,” said David Boyer. “We’re excited to share new technologies, new products, new services and new efficiencies. Bringing three family-owned businesses together into one company enhances our motive to serve our customers and each of our employees. It’s a great opportunity for Boyer Petroleum. My father, Art, and I, are proud to be a part of it.”

Lube-Tech & Partners, LLC will go to market under the Lube-Tech brand and will have central branches in Des Moines, IA, St. Paul, MN and Milwaukee, WI.  To learn more visit www.lubetech.com.

About Boyer Petroleum
Boyer Petroleum – founded by George Boyer in 1936 – celebrates 80 years in business this year! Owned by Art and David Boyer, Boyer Petroleum serves all of Iowa from their Des Moines headquarters and are leaders in lubrication and petroleum products in the automotive, commercial and industrial markets.  Their 28 employees are an experienced team, committed to providing the best solutions and services to their customers.  This experience means excellence – to their customers, their employees and their suppliers.

About Lubrication Technologies, Inc.
Since 1925, Lubrication Technologies, Inc. and its founding companies have demonstrated an employee-first, customer-focused approach. As the Midwest’s go-to resource for advanced lubrication and energy solutions, Lubrication Technologies, Inc.’s mission is to help our customers accelerate their performance – from their engines and equipment to their bottom line – while continuously improving our employees’ lives and our community.  Lubrication Technologies, Inc. serves transportation, automotive, industrial, and small engine customers in over 70 countries. Based in Golden Valley, Minnesota Lube-Tech has operations throughout the Midwest region, Shreveport, LA, and Langenthal, Switzerland. The company produces and distributes over 25 million gallons of lubricants and employs approximately 400 employees. Its Distribution Division distributes lubricants throughout Minnesota, North Dakota, South Dakota, Iowa, and Western Wisconsin and includes approximately 100 of the overall Lube-Tech employee base. For more information, visit www.lubetech.com.

About Moore Oil Company
Moore Oil Company, based in Milwaukee, WI, has been in business since 1945. Owned by Scott and Andrew Haag, their service territory covers Wisconsin, Upper Michigan and Northern Illinois, through its three locations in Milwaukee, WI, Plover, WI, and Burr Ridge, IL. “There’s More to Moore than oil”, is a meaningful statement that represents Moore Oil’s 70 talented employees, its depth of products, its focus on helping customers and partners grow and develop, its desire to solve problems and present solutions, and its commitment to the community. Moore Oil has been recognized as a “Top 100 Employers” in Milwaukee.

PetroChoice Acquires Hagan Kennington Oil Company

PetroChoicePetroChoice announces the acquisition of Hagan Kennington Oil Company in Charlotte, North Carolina.

The deal further broadens PetroChoice’s distribution reach in North and South Carolina. “Hagan Kennington is a great company and together we will continue to provide the quality products and high level of service expected by lubricant customers throughout the Carolina Region,” said Bob Crouch, Executive Vice President of the PetroChoice Eastern Division.

Located in Gastonia, NC, Hagan Kennington Oil Company has been servicing Western portions of North and South Carolina for over 50 years. The company distributes HaganKenningtonLogolubricants, equipment and a wide range of related services to the commercial, automotive, and industrial markets. “Our mission of delivering quality products with great customer service fits really well with PetroChoice’s vision,” said Grady Kennington. “We are excited for the opportunity to bring our teams together and build on our company’s legacy.” Mr. Kennington is joining PetroChoice and will lead sales and operations in the Charlotte market.

PetroChoice continues to grow through acquiring best-in-class lubricant distributors that are a strategic fit with its business model, expanding its product and service offering as well as its geographic footprint.

 About PetroChoice:

PetroChoice is a leading value-added provider of petroleum based lubrication products and services, providing its customers with Lubrication Solutions to meet their Safety, Savings, and Sustainability goals. PetroChoice distributes an extensive product offering of lubricants, coolants, metalworking fluids, equipment, auto-lube and filtration systems, and contamination control devices backed by unmatched technical expertise and services. This is the 15th acquisition PetroChoice has made since 2008. For more information about PetroChoice, visit www.petrochoice.com.

BREAKING NEWS! PetroChoice Acquires Universal Lubricants’ New Oil Business

PetroChoiceSignificantly Expands West and Midwest Coverage with Addition of 15 New Distribution Locations

PetroChoice, a leading provider of lubrication solutions, announced today that it has acquired Universal Lubricants’ new oil business from an entity controlled by Pegasus Capital Advisors. Through this acquisition, PetroChoice will add 15 distribution locations bringing their total to 45 facilities servicing 31 states.

Under the terms of the transaction, PetroChoice also acquired Universal Lubricants’ laboratory and blending facilities. In addition, PetroChoice has established a preferred vendor relationship with Universal Lubricants’ refinery and environmental services divisions, which were not included in the transaction. Additional terms of the deal were not disclosed.

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L-R Shane O’Kelly, PetroChoice; Rick Palmore, Universal Lubricants; Andrew Cooper, Pegasus Capital Advisors; Steve King, PetroChoice

“Universal Lubricants’ new oil business is a natural strategic fit for PetroChoice as it significantly enhances our resources, expands our geographic reach as far west as Denver, and solidifies our position as the largest bulk lubricant distributor in the United States,” said Shane O’Kelly, CEO of PetroChoice.” This combination will also benefit customers of both companies as we will be able to provide them with a broader selection of products, services and solutions at more locations. With the backing of Golden Gate Capital, we will continue to evaluate ways in which we can expand our operating network through strategic acquisitions and distribution partnerships with best-in-class lubricant distributors.”

Rajeev Amara, a Managing Director of Golden Gate Capital, said, “We are pleased to support PetroChoice’s impressive growth and management team led by Shane O’Kelly. We look forward to PetroChoice’s continued success as they accelerate and execute on their expansion strategy.”

“PetroChoice is the premier U.S. distributor of lubricants and services, and we are excited to partner with them to provide our customers with access to an unmatched selection of products and solutions and industry-leading customer service,” said Rick Palmore, Vice President of Sales at Universal Lubricants. “Importantly, our cultures, values and missions are very much aligned, and together, we will be better able to deliver the complex solutions, technical expertise and deep industry knowledge that our customers demand.”

Andrew Cooper, CEO of Universal Lubricants and Partner at Pegasus Capital Advisors, commented, “We are pleased to sell Universal Lubricants’ new oil business to PetroChoice. Universal Lubricants has been a leader in developing the closed loop solution, from used oil collection to branded lubricant sales, and this transaction recognizes the value of that business model, allowing PetroChoice to extend its technical leadership and customer relationships across a broader footprint.”

Founded in 1929, Universal Lubricants is a recognized leader in the distribution of high-quality lubricants, leveraging innovation to meet U.S. demand for oil, including creating customer-specific blends that perform in some of the most extreme environments in North America. Universal Lubricants’ proprietary product lines include their signature Universal® line for automotive and heavy-duty diesel engines; their Dyna-Plex 21C® premium heavy-duty line; and their sustainable Eco Ultra® line. The Company’s new oil business is based in Wichita, Kansas and employs approximately 215 people across their 15 distribution locations.

Mr. Palmore, an industry veteran with over 30 years of experience, will join PetroChoice as Regional Vice President. Going forward, Universal Lubricants’ environmental services companies will operate as RS Used Oil Services, Inc. and Midstate Environmental Services, LP.

About PetroChoice:
PetroChoice is a leading value-added provider of petroleum based lubrication products and services, providing its customers with complete Lubrication Solutions to meet their Safety, Savings, and Sustainability goals. PetroChoice distributes an extensive product offering of lubricants, coolants, metalworking fluids, equipment, auto-lube and filtration systems, and contamination control devices backed by unmatched technical expertise and services. This is the 14th acquisition PetroChoice has made since 2008. For more information about PetroChoice, visit www.petrochoice.com.

Universal Lubricants:
Universal Lubricants® is a recognized leader in distribution of high-quality proprietary lubricants serving the areas of industry, agriculture, heavy construction, trucking, mass transit and passenger cars throughout the country for more than 85 years. They are trusted providers of lubricants, oil analysis, technical assistance and preventative maintenance consultation. They deliver a wide variety of products, technical services and efficient distribution with brands that represent quality and dependability. For more information about Universal Lubricants, visit www.universallubes.com. For more information about Environmental Services, please visit www.rsusedoil.com and www.midstateenv.com.

Golden Gate Capital:
Golden Gate Capital is a San Francisco-based private equity investment firm with over $15 billion of capital under management. The principals of Golden Gate Capital have a long and successful history of investing across a wide range of industries and transaction types, including going-privates, corporate divestitures, and recapitalizations, as well as debt and public equity investments. Other notable mining and industrials investments sponsored by Golden Gate Capital include US Silica, EP Minerals, ArrMaz, Humanetics Innovative Solutions, Springs Window Fashions, Canada Fluorspar Inc. and Atrium Windows. For more information, visit www.goldengatecap.com.

About Pegasus Capital Advisors, L.P.:
Pegasus is a private equity firm founded and led by Craig Cogut. Since inception in 1996, Pegasus has invested across five private equity funds and currently manages approximately $1.8 billion in assets. The Firm’s principal investment theme is providing strategic growth capital to companies within the middle-market focused on global resource scarcity, particularly energy, waste, food, water and health & wellness.

Lubricant Price Decreases

Price DecreaseWith the price of crude the lowest it has been in 11 years, and the price of gasoline at levels not seen since the 1990s, it should come as no surprise that several majors have recently announced price decreases on finished lubricants.

The first to announce price decreases were ExxonMobil and Castrol.

ExxonMobil advised its marketers on February 9th that effective February 26, 2016, they would decrease the price of its branded and unbranded lubricants and greases by up to 3%.

On the same day, Castrol announced a 2% price decrease on its passenger car and commercial lubricants. This decrease is effective March 14, 2016.

Valvoline followed when it announced a price decrease on Tuesday of this week. Valvoline advised its marketers that effective March 1, 2016, it will decrease prices on lubricant products by up to 2%.

Phillips 66 Lubricants Announces Consolidation of its Brand Portfolio

Lubricants Supplier Commits to Concentrated Marketing Support for Phillips 66® and Kendall® Motor Oil 

Phillips 66In an effort to strengthen relationships and drive strategic growth, Phillips 66 Lubricants, one of the largest finished lubricants suppliers in North America, today announced it will consolidate its Lubricants portfolio into two brands, Phillips 66® and Kendall® Motor Oil, beginning July 1, 2016. According to the company, transitioning away from a tri-branded strategy will help to elevate the profile of Phillips 66 Lubricants as a national lubricants supplier and better position it for the future. As a result of the consolidation, Phillips 66 Lubricants will optimize its product portfolio mix and develop a full line of lubricants products for every need under the Phillips 66 brand.

“We believe this new direction will help to build long-term equity for our brands and enable us to compete more aggressively in the marketplace,” said Bryan Faria, Manager, Finished Lubricants. “Consolidation simplifies the brand portfolio, while also allowing us to increase marketing support for two distinct brands. We’re committed to building strong brand awareness and focusing our efforts to have greater impact and be more efficient overall.”

Jamie Allison, Director, Lubricants Brand Management at Phillips 66 Lubricants told JobbersWorld “We are always listening to our Marketers and have been receiving ongoing feedback regarding our brand strategy. We’ve been discussing a potential consolidation for many months in order to address their concerns. Our multi-brand approach has caused confusion among customers and diluted Phillips 66 Lubricants’ perception as a national lubricants brand. In the end, a more focused investment will help to elevate Phillips 66 Lubricants’ profile and more effectively strengthen relationships to drive strategic growth.” Adding to this, Allison said “New advertising for both brands will launch in July.”

The consolidation affects only Phillips 66 Lubricants business; Phillips 66, Conoco® and 76® fuels brands will remain intact.

For more information about Phillips 66 Lubricants, please visit www.Phillips66Lubricants.com.

About Phillips 66 Lubricants
Phillips 66 is a diversified energy manufacturing and logistics company. With a portfolio of Midstream, Chemicals, Refining, and Marketing and Specialties businesses, the company processes, transports, stores and markets fuels and products globally. As one of the largest finished lubricants suppliers in the U.S., Phillips 66 Lubricants is known for manufacturing and marketing high-quality base oils and sophisticated formulations in four lubricant brands: Phillips 66®, Conoco®, 76® Lubricants, and Kendall® Motor Oil. These premier products reach across every key market sector, including automotive, trucking, agriculture, aviation, power generation, mining and construction. For more information, visit www.phillips66lubricants.com.

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