1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Valuation
Discussion
Symbol
APC
Event Date
2026-02-12
Sector
Energy
Subsector
Oil, Gas & Consumable Fuels
Offer Range
$18.00
Shares Offered
11.11M
12.57M
$830.0M
88.4%
Implied Upside vs Midpoint
Description
We are a growth-oriented, fuel distribution company and one of the largest wholesale fuel distributors by gallons in North America, supplying customers in more than 30 states across the Mid-Atlantic, Midwestern, Northeastern, Southeastern, and Southwestern United States (“U.S.”). We were formed by ARKO Parent, one of the largest convenience store operators in the U.S. We primarily engage in the fee-based wholesale distribution of motor fuel to the retail sites operated by ARKO Parent that sell fuel (“ARKO Retail,” “ARKO Retail Sites” or “related party sites”) and to third-party dealers under long-term contracts, and we sell fuel at our fleet fueling locations. One of our key business objectives is to make quarterly cash distributions to stockholders and, over time, increase our quarterly cash distribution. We operate through three reportable segments: i. Wholesale: Our Wholesale segment distributes fuel to gas stations operated by third-party dealers, sub-wholesalers, and bulk and spot purchasers (e.g., commercial, government, industrial businesses, and rack buying dealers), on either a cost-plus or a consignment basis, generally pursuant to long-term contracts. ii. Fleet Fueling: Our Fleet Fueling segment includes the operation of proprietary and third-party cardlock locations (unstaffed fueling locations that serve commercial vehicle fleets) that primarily sell fuel to commercial and municipal entity customers, and we also generate revenue through commissions from the sale of fuel using proprietary fuel cards that provide customers access to a nationwide network of fueling sites. APC is one of the largest cardlock operators in the U.S. and maintains a leading position in the Mid-Atlantic region. iii. GPMP: Our GPMP segment sells and supplies fuel to substantially all of the ARKO Retail Sites at our cost of fuel plus a fixed margin, and the GPMP segment charges a fixed fee to certain of the ARKO Retail Sites that are not supplied by us. In addition, the GPMP segment includes intercompany transactions which are eliminated in the combined financial statements contained in this prospectus. For the year ended December 31, 2024 and the nine-month period ended September 30, 2025, we distributed 2.1 billion gallons and 1.5 billion gallons, respectively, of fuel to our customers. We purchase our fuel from independent refining companies and major oil companies and then distribute it to customers using third-party haulers, and in certain cases our own trucks. We believe we have limited exposure to fluctuating commodity prices because we generally pass the cost of the fuel we distribute through to our customers. In addition, we are able to generate larger fuel margins (i) under consignment distribution arrangements with third-party dealers, where we maintain control of the fuel inventory and retail fuel pricing, and (ii) on fuel sales at our cardlock locations, compared to fuel supply arrangements. We have a proven track record of long-term, sustainable growth in gallons distributed. Between January 1, 2020 and September 30, 2025, we grew our gallons distributed or sold by a compounded annual growth rate (“CAGR”) of approximately 12%, driven primarily by the addition of 624 net new sites (inclusive of ARKO Retail Sites), bringing our total sites to 3,499 as of September 30, 2025, and our fuel margin by a CAGR of approximately 14% over the same time period. As of September 30, 2025, our business operations included: • Supplying fuel to 1,158 ARKO Retail Sites, pursuant to a long-term motor fuel distribution agreement with ARKO Parent • Supplying fuel to 2,053 gas stations operated by third-party dealers, pursuant to long-term agreements • The operation of a total of 288 proprietary and third-party unstaffed cardlock locations We have designed our operating model to be cost-and-capital-efficient based on the following characteristics: (i) the business requires a limited number of employees; (ii) relatively low operating costs, which generally result in high conversion of gross profit to Adjusted EBITDA1 and, similarly, an attractive margin profile; and (iii) adding wholesale and cardlock sites is not expected to require substantial incremental corporate overhead, providing an opportunity to scale efficiently. Additionally, our cost-and-capital-efficient operating model, relatively low leverage and stable and growing cash flow profile, are expected to position us to consistently convert a high level of Adjusted EBITDA(1) into Discretionary Cash Flow(1), enabling us to prioritize the return of capital to shareholders in the form of consistent and growing cash dividends. (1) EBITDA, Adjusted EBITDA and Discretionary Cash Flow are non-GAAP measures. --- ARKO Petroleum is a Delaware corporation and was incorporated on July 2, 2025. ARKO Petroleum’s principal executive offices are located at 8565 Magellan Parkway, Suite 400, Richmond, Virginia 23227-1150 and its phone number is (804) 730-1568. ARKO Petroleum’s website can be found at www.arkopetroleum.com.
ARKO Petroleum Corp. annual income statement and balance sheet, FY 2025 to FY 2025, as reported in SEC filings.
| Metric | FY 2025 |
|---|---|
| Total assets | $1.3B |
| Total liabilities | $1.2B |
| Total equity | $36.1M |
| Cash & equivalents | $15.6M |