Topic: Growth Stocks

Stock Pickers Digest Hotline – Friday, June 24, 2016

Article Excerpt

PLEASE NOTE: Due to the Canada Day holiday, our next Hotline will go out on Thursday, June 30, 2016. ALIMENTATION COUCHE-TARD, $52.30, symbol ATD.B on Toronto, has agreed to buy the Premium 7 chain in Estonia for an undisclosed amount. The purchase comprises 23 fuel stations—11 full-service, with convenience stores; and 12 self-service. With the transaction, Couche-Tard’s network in Estonia will grow by 40% and will total 77 company-operated stores and fuel stations. For now, it plans to operate the new locations under the Statoil banner. It will change them to its global Circle K brand within a year. Growth by acquisition can be risky, although this deal is a small one for Couche-Tard. Regardless, the company has a long record of successfully integrating businesses, including Norway’s Statoil Fuel & Retail gas station chain. It made that purchase for $2.7 billion in June 2012. In March 2015, it also paid $1.7 billion for the Pantry, which has more than 1,500 convenience stores in…