Mexico’s OXXO to Take Over DK Stores in Texas, New Mexico

SAN ANGELO, TX – Fomento Económico Mexicano (FEMSA), the Monterrey-based owner of Mexico’s OXXO convenience stores, is set to expand its footprint into the United States with the acquisition of 249 DK convenience stores from Delek US Holdings.

The $385 million cash deal, announced on August 1, is expected to close by the end of 2024.

The majority of these DK stores, around 90%, are located in Texas, with additional locations in New Mexico and a small presence in Arkansas. This acquisition marks OXXO’s first entry into the U.S. market, bringing the Mexican retail giant to parts of West Texas and New Mexico.

The sale comes just 18 months after Delek rebranded its 7-Eleven stores to the DK name, which also sells Alon-branded gasoline from Delek’s refinery in Big Spring, Texas. Delek, which has owned the convenience stores for seven years, expects to establish a future agreement with FEMSA to continue supplying gasoline to the newly acquired locations.

FEMSA’s move into the U.S. market with its OXXO brand, which has more than 22,800 stores across Latin America, signals a large expansion effort as it looks to compete with established American convenience store chains.

The transaction is pending regulatory approval and is anticipated to be finalized later this year.