Casey's General Stores

Casey's General Stores

Casey's General Stores

NEW YORK -- The owner of Circle K convenience stores is taking its $36-per-share cash offer for Casey's General Stores Inc. directly to shareholders in a tender offer since Casey's rejected its bid.

Casey's has 104 stores in Nebraska. Circle K has none in Nebraska, but hundreds in surrounding and nearby states.

The offer from Alimentation Couche-Tard Inc., a Canadian company, was a nearly 1 percent discount to Casey's closing price on Tuesday. But it is a 14 percent premium to the stock price before Alimentation Couche-Tard made its initial offer in April.

Couche-Tard also said Wednesday that it plans to nominate nine candidates for Casey's board of directors.

The total bid is worth $1.87 billion, excluding about $29 million in Casey's debt.

Couche-Tard CEO Alain Bouchard said it was "unfortunate" that Casey's rejected the offer in April without any discussion or negotiation and added, "We are committed to making this combination a reality and, to that end, are taking our offer directly to the shareholders of Casey's."

In April Couche-Tard said the acquisitions would "form a stronger, more competitive player."

On Wednesday, Bouchard added that any deal would provide "superior value to our respective shareholders, employees, business partners and other constituencies."

Casey's, based in Ankeny, Iowa, advised shareholders not to take action regarding the tender offer. Casey's said it was reviewing the offer and will make a recommendation to shareholders within 10 days. The tender offer expires July 9.

In April, Casey's said the offer undervalued the company.

Couche-Tard has more than 3,500 stores across the U.S., primarily under the Circle K brand, 6,000 total in all nations.

Casey's operates about 1,500 stores.

Casey's General Stores

WEST DES MOINES, Iowa (AP) — The owner of a West Des Moines-based convenience store company has agreed to sell his six locations to Casey's General Stores.

ShortStop owner Dave Carpenter says the deal will be finalized in October. The purchase price wasn't announced.

Carpenter says there was limited potential for growth for a chain his size in the area.

He opened the first ShortStop in Ankeny in 2001 and added five more in Des Moines, West Des Moines, Coralville and Marion.

Casey's plans to rebrand the stores after the purchase. The company, which is based in Ankeny, recently penned deals to buy 52 stores by the end of the year.

The chain also plans to expand into Arkansas.

Carpenter says he plans to stay in the business. He'll retain his rights to the ShortStop name.