Thursday, September 1, 2016
Western Convenience Stores Putting Bankruptcy Behind It
Colorado-based chain 'well positioned to grow and prosper,' president says
Source: CSP Daily News
CENTENNIAL, Colo. -- Paying all of its creditors in full through the consummation of its reorganization plan, Western Convenience Stores Inc. is set to emerge from Chapter 11 bankruptcy and to grow, the company said.
The Centennial, Colo.-based company owns and operates 44 convenience stores in Colorado and western Nebraska.
Western Convenience Stores began in 1989 with one store and slowly grew to 12 stores until 2001, when growth accelerated. The majority of the chain’s units are in the greater Denver area, with a few—including a truckstop and two liquor stores—located in Nebraska. One Colorado location has a liquor store attached.
Western had filed a Chapter 11 bankruptcy petition on Dec. 28, 2015, in the U.S. Bankruptcy Court for the District of Colorado.
In its bankruptcy filing, the chain claimed nearly $10 million in debts, including a disputed $7 million owed to Suncor. Other large debts include $4.2 million owed to VSD 4 LLC, $2.4 million owed to Offen Petroleum and $1.6 million owned to High Plains Bank.
As reported in a McLane/CSP Daily News Flash, the chain has been operating its stores as debtor-in-possession since the filing date, and has been working diligently to obtain exit financing.
The implementation of the plan was facilitated by a secured loan facility provided by affiliates of Garrison Investment Group. NRC Realty & Capital Advisors LLC served as the exclusive financial adviser to Western and its affiliates in connection with the financing.
“I am very pleased to announce the completion of the company’s plan of reorganization and the payment in full of all creditors. Thanks to the assistance of Garrison Investment Group, Western is now well positioned to grow and prosper and take advantage of the many opportunities ahead,” said Hossein Taraghi, president of Western Convenience Stores.
Chicago-based NRC Realty & Capital Advisors provided “invaluable assistance … in securing and structuring exit financing for us on terms which will ensure our future success,” he said.