Sunoco LP ("Sunoco") has released its unaudited pro forma combined financial information, reflecting the impacts of multiple transactions. The NuStar Acquisition, completed in the second quarter of 2024, saw Sunoco acquiring 100% of the common units of NuStar Energy L.P. ("NuStar") in exchange for approximately 51.5 million common units, with a fair value of approximately $2.85 billion, and assumed debt totaling approximately $3.5 billion.
The West Texas Asset Sale, completed in April 2024, involved the sale of 204 convenience stores to 7-Eleven, Inc. for approximately $1.0 billion, resulting in a $586 million gain for Sunoco.
The Parkland Acquisition, expected to close in the second half of 2025, will see Sunoco acquiring all outstanding shares of Parkland Corporation in a cash and equity transaction valued at approximately $9.1 billion, including assumed debt. Sunoco secured a $2.65 billion 364-day bridge term loan for the proposed cash consideration.
The unaudited pro forma condensed combined balance sheet assumes that the Parkland Acquisition was consummated on March 31, 2025. As a result, the total assets of the combined entity would amount to $27.722 billion, compared to Sunoco's historical total assets of $14.342 billion.
The unaudited pro forma condensed combined statement of operations for the three months ended March 31, 2025, shows that the combined entity would have had revenues of $9.927 billion, compared to Sunoco's historical revenues of $5.179 billion and Parkland's historical revenues of $4.748 billion.
In the pro forma statement, the combined entity's operating income would have been $342 million, significantly higher than Sunoco's historical operating income of $296 million and Parkland's historical operating income of $94 million.
The net income attributable to limited partners in the pro forma statement for the three months ended March 31, 2025, is $106 million, compared to Sunoco's historical net income of $207 million and Parkland's historical net income of $43 million.
For the year ended December 31, 2024, the combined entity's revenues would have been $43.696 billion, which is the sum of Sunoco's historical revenues of $22.693 billion, NuStar's historical revenues of $523 million, and Parkland's historical revenues of $20.672 billion.
The combined entity's total assets would amount to $27.722 billion, compared to Sunoco's historical total assets of $14.342 billion.
The combined entity's net income attributable to limited partners for the year ended December 31, 2024, is $185 million, compared to Sunoco's historical net income of $207 million, NuStar's historical net income of $(1) million, and Parkland's historical net income of $43 million.
These figures demonstrate the significant impact of the acquisitions and sales on the financial position and performance of the combined entity. Today the company's shares have moved -0.6% to a price of $54.88. If you want to know more, read the company's complete 8-K report here.
