SARATOGA SPRINGS, N.Y. — Stewart’s Shops announced that it has acquired the assets of Schenectady–based energy company Red-Kap.
The acquired assets include eight convenience stores, four car washes (one is currently under construction), and fuel distribution to more than 75 dealers, “which is the heart of the deal,” per a Tuesday news release on the Stewart’s Shops website.
The convenience stores include a location in Baldwinsville, per the Red-Kap website. The announcement didn’t include any details of financial terms of the acquisition deal.
Based in Saratoga Springs, Stewart’s Shops operates convenience stores throughout upstate New York.
Stewart’s Shops will maintain the branding of the Mobil, Citgo, and Sunoco stations and will convert two of the Red-Kap locations into traditional Stewart’s Shops. The remaining six locations will become ‘Stewart’s Express’ shops.
These smaller shops will have limited product offerings, less seating, and fewer food-to-go options. They also won’t serve hand-scooped ice cream. The Stewart’s Express locations will offer some ice cream flavors in pre-packaged pints and half gallons.
“Due to our long-standing business history and the level of trust between us, we were able to complete this deal in a relatively short amount of time,” Gary Dake, president of Stewart’s Shops, said. “Stewart’s Shops has always respected and admired the integrity of the family-owned Red-Kap organization. This is primarily a fuel-distribution transaction, and we look forward to extending our support to the distributor and dealer network.”
Selling a family business is a “complex and emotional undertaking,” Jon Kaplan, principal of Red-Kap, said. “Throughout this process, I have come to realize how fortunate we were to be acquired by Stewart’s. The integrity and compassion that they have shown throughout the transaction is a testament to the Dake family and the organization they have built,” said Kaplan.
Besides Baldwinsville, the eight convenience stores are located in Albany, Berne, Hudson, Rensselaer, Saratoga Springs, Castleton, and Loudonville. They’re already undergoing conversions into Stewart’s Shops and ‘Stewart’s Express’ locations and will be completed during this year.