Canadian convenience store giant Alimentation Couche-Tard will expand its footprint in the U.S. with a $1.7 billion acquisition of The Pantry. The target, the Cary, N.C.-based operator of the Kangaroo Express chain of gas stations, will join Couche-Tard’s portfolio of banners that includes Statoil, Mac’s and Circle K. The all-cash deal calls on the acquirer to pay $36.75 per share, a 39% premium to The Pantry’s 30-day average share price. The transaction value the equity in the target at about $860 million. Couche-Tard will also assume The Pantry’s $900 million in total debt. It is the Canadian company’s largest acquisition since buying Norway’s Statoil for $2.8 billion in 2012.
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