Tacoma-based Associated Petroleum Products has announced the acquisition of Pioneer Oil Co. of Portland.
“It’s an incredible opportunity for us to expand,” said APP President and CEO Luke Xitco on Tuesday.
The price paid was not released.
The acquisition positions APP for growth in Clackamas, Columbia, Multnomah, Washington and Yamhill Counties. The company already has established its propane business in the area, and the added Pioneer infrastructure will allow for expansion of bulk fuel delivery, fleet fueling, lubricant and other programs.
Xitco said the acquisition may result in a 10 percent increase in gross sales. Most of Pioneer’s 25 employes will be retained, he said.
Frank Pupo Jr., APP executive vice president and COO, said in a release, “APP and Pioneer Oil Co. have had a long partnership together with cardlock and fleet fueling opportunities and we are familiar with the existing customer base and market. This opportunity to acquire Pioneer Oil Co. fits into our long-term company goals to grow in areas with strong economics.”
Xitco said the company is exploring further expansion into Oregon and also in Eastern Washington.