BP, through its unit BP Products North America, has decided to spend $1.3 billion in cash to acquire a major service travel center operator, TravelCenters of America. BP noted that TA’s network of highway sites complements its existing off-highway convenience and mobility business. This will also enable both companies to provide nationwide service.
“In addition, BP’s global scale and reach will, over time, bring advantages in fuel and biofuel supply as well as convenience offers for consumers. It will provide options to expand and develop new mobility offers including electric vehicle (EV) charging, biofuels, renewable natural gas (RNG) and later hydrogen, both for passenger vehicles and fleets,” the statement reads.
BP has unveiled its ambition to invest in Convenience, as one of its five strategic transition growth engines. By 2030, BP aims for around half its annual investment to go into these transition growth engines. Over 2023-2030 it aims that around half of its cumulative $55-65 billion transition growth engine investment will go into convenience, bioenergy and EV charging.
“This is BP’s strategy in action. We are doing exactly what we said we would, leaning into our transition growth engines. This deal will grow our convenience and mobility footprint across the U.S. and grow earnings with attractive returns. Over time, it will allow us to advance four of our five strategic transition growth engines. By enabling growth in EV charging, biofuels and RNG and later hydrogen, we can help our customers decarbonize their fleets. It’s a compelling combination,” said BP CEO Bernard Looney.
The acquisition will beef up BP’s portfolio with around 280 TravelCenters of America sites, spanning 44 U.S. states nationwide.
“Subject to approvals, we look forward to welcoming the TA team to BP. TA's amazing nationwide network of on-highway locations combined with BP’s more than 8,000 off-highway locations have the potential to offer travelers and professional drivers a seamless experience for decades to come,” said Dave Lawler, chairman and president of BP America.
BP has also unveiled its decision to invest $1 billion in EV charging across the US by 2030.
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