Energy titan Shell more than doubled its retail footprint in the U.S. on Sept. 1 by acquiring Nashville-based company Tri Star Energy. It is taking ownership of 320 fuel and convenience retail sites in Tennessee and surrounding states, including one at the heart of Nashville's 12 South neighborhood.
Tri Star opened the White Bison coffee shop and Twice Daily convenience store at 2607 12th Ave. S. in 2018 as development in the area gained traction. Since-closed neighborhood staples like Mafiaozas's Pizzeria, Burger Up and 12 South Taproom were still open, and Tri Star Energy's then-Vice President of Marketing Dawn Boulanger said the location was intended as a neighborhood convenience store.
The street has transformed from a strip of local businesses
into a retail hub filled with national brands like Lululemon, Reformation and Love Shack Fancy over the last eight years. Now, Shell is joining the list of corporations buying into the area.
A Shell spokesperson said acquiring Tri Star Energy and its convenience stores is part of a larger strategy to reallocate resources from lower-return areas to markets where the company has proven it can deliver strong performance. Nashville is among those markets. Shell previously held a 33% stake in the business.
"Tri Star has built a strong business with high-quality assets, a dedicated team and a loyal customer base,” Shell executive Machteld de Haan said in a statement. "The transaction is fully aligned with our growth strategy to focus capital on businesses in which we have distinctive advantages and can create long-term shareholder value."
Shell and Tri Star Energy did not release the purchase price.
For Tri Star's leadership, the sale is bittersweet after 26 years in business.
"When you look at all that Tri Star Energy has accomplished, the credit belongs entirely to the incredible teams running our stores and operations every single day," CEO Steve Hostetter said. "They built these brands one customer and one community at a time, and their hard work is the sole reason we’ve reached this milestone.”
In addition to White Bison and Twice Daily, Tri Star also owns all Sudden Service and Little General convenience stores across Tennessee and Alabama. Shell will also take over Tri Star's supply agreements with 552 more dealer-owned locations in the U.S.
Pending closing conditions and necessary regulatory approvals, both companies expect the deal to close on Dec. 1.
Hadley Hitson covers business news for The Tennessean. She can be reached at hhitson@tennessean.com. To support their work,subscribe to The Tennessean.
This article originally appeared on Nashville Tennessean: Oil giant Shell buys into 12 South, acquires Nashville's Tri Star Energy
