By Josh Beckerman
Shell agreed to sell Jiffy Lube to Monomoy Capital Partners in a $1.3 billion deal, more than 23 years after the automotive service chain became part of Shell via the purchase of Pennzoil-Quaker State.
The sale includes the Jiffy Lube brand, franchisee Premium Velocity Auto and a network of stores owned and operated by independent franchisees, Shell said.
Jiffy Lube has more than 2,000 locations.
Shell said it will retain its Pennzoil Quaker State, Rotella and other Shell lubricants brands, along with marketing, manufacturing and distribution of lubricants in the U.S. and Canada that serve consumer, commercial and industrial sectors.
Shell said it is "capitalizing on a strong market opportunity." It said the divestment allows it to monetize an asset that isn't central to its lubricants portfolio in the U.S. and reinvest in higher-return opportunities.
Jiffy Lube makes up 6.5% of the volume of Shell's U.S. and Canada total lubricants business.
Shell's 2002 deal for Pennzoil-Quaker State, valued at about $2.9 billion including assumed debt, was part of a push to enhance its position in U.S. refined products.
Write to Josh Beckerman at josh.beckerman@wsj.com
(END) Dow Jones Newswires
03-09-26 1413ET
