Blab Business
Tooley Oil Exits Retail, Sells 12 Convenience Stores and 7 Car Washes to H&S Energy Group
On September 8 2026, the family‑owned Tooley Oil Company closed the chapter on its retail legacy by selling 12 convenience stores and seven car‑wash locations in the Sacramento metropolitan area to California‑based H&S Energy Group.
Founded in 1961 by Michael C. Tooley, the company began as a Phillips Petroleum dealer before acquiring eight unbranded sites in 1978 that became its first branded stations. Over five decades, Tooley Oil added convenience‑store and car‑wash services to its portfolio while operating Shell‑branded fuel stations.
The transaction, reported by CoStar News, marks Tooley Oil’s exit from retail operations. The company will keep its wholesale motor‑fuel distribution business and plans to use the proceeds to strengthen that segment.
H&S Energy Group, which opened its doors in 1996, has grown its convenience‑store network through both organic development and strategic purchases. In 2024, the chain acquired 20 locations from Andretti Petroleum Group, adding 10 Extra Mile c‑stores and 10 food marts that were rebranded under the H&S Energy name. The Sacramento sites bring H&S Energy’s total convenience‑store count to 70.
The Sacramento locations sold by Tooley Oil include a mix of Shell, Chevron, and Tooley‑branded stations. H&S Energy’s stores typically offer a full range of convenience‑store items, accept EBT and WIC benefits, and feature services such as ATMs, auto‑repair kiosks, and coffee machines.
The deal was reported by several outlets, including the C‑Store Dive and the New York Post, both of which confirmed that the buyer is H&S Energy Group. The sale is part of a broader trend of consolidation in the convenience‑store sector, as smaller operators look to focus on core businesses while larger chains expand their footprint.
Tooley Oil’s decision to divest its retail assets follows a strategic review that concluded the company’s wholesale motor‑fuel distribution was a more scalable and profitable focus. The company said it would use the sale proceeds to invest in new distribution facilities and to strengthen its supply‑chain operations.
H&S Energy Group’s spokesperson noted that the acquisition would strengthen the company’s presence in Northern California and provide additional revenue streams from car‑wash services. The new sites are expected to open under the H&S Energy brand within the next six months.
The sale is a significant shift for both companies. For Tooley Oil, it marks the end of a 50‑year presence in the Sacramento retail market. For H&S Energy Group, it expands a network that already includes more than 70 convenience‑store locations across California.
The transaction is still pending final regulatory approvals, but both parties have indicated that the deal is expected to close in the first quarter of 2027. No financial terms were disclosed.
The sale highlights the continued consolidation of the convenience‑store industry and the strategic realignment of long‑standing family businesses toward core competencies.
Founded in 1961 by Michael C. Tooley, the company began as a Phillips Petroleum dealer before acquiring eight unbranded sites in 1978 that became its first branded stations. Over five decades, Tooley Oil added convenience‑store and car‑wash services to its portfolio while operating Shell‑branded fuel stations.
The transaction, reported by CoStar News, marks Tooley Oil’s exit from retail operations. The company will keep its wholesale motor‑fuel distribution business and plans to use the proceeds to strengthen that segment.
H&S Energy Group, which opened its doors in 1996, has grown its convenience‑store network through both organic development and strategic purchases. In 2024, the chain acquired 20 locations from Andretti Petroleum Group, adding 10 Extra Mile c‑stores and 10 food marts that were rebranded under the H&S Energy name. The Sacramento sites bring H&S Energy’s total convenience‑store count to 70.
The Sacramento locations sold by Tooley Oil include a mix of Shell, Chevron, and Tooley‑branded stations. H&S Energy’s stores typically offer a full range of convenience‑store items, accept EBT and WIC benefits, and feature services such as ATMs, auto‑repair kiosks, and coffee machines.
The deal was reported by several outlets, including the C‑Store Dive and the New York Post, both of which confirmed that the buyer is H&S Energy Group. The sale is part of a broader trend of consolidation in the convenience‑store sector, as smaller operators look to focus on core businesses while larger chains expand their footprint.
Tooley Oil’s decision to divest its retail assets follows a strategic review that concluded the company’s wholesale motor‑fuel distribution was a more scalable and profitable focus. The company said it would use the sale proceeds to invest in new distribution facilities and to strengthen its supply‑chain operations.
H&S Energy Group’s spokesperson noted that the acquisition would strengthen the company’s presence in Northern California and provide additional revenue streams from car‑wash services. The new sites are expected to open under the H&S Energy brand within the next six months.
The sale is a significant shift for both companies. For Tooley Oil, it marks the end of a 50‑year presence in the Sacramento retail market. For H&S Energy Group, it expands a network that already includes more than 70 convenience‑store locations across California.
The transaction is still pending final regulatory approvals, but both parties have indicated that the deal is expected to close in the first quarter of 2027. No financial terms were disclosed.
The sale highlights the continued consolidation of the convenience‑store industry and the strategic realignment of long‑standing family businesses toward core competencies.
