You and I had a brief conversation about banks, oil, failing oil firms and valuations, some while back.
Here is something which I found which shows the direction of how things will go with "acquisitions".
Groups that probably have no business whatsoever buying retail gas stations are doing so, simply because they can do the math on that "hole in the ground, full of oil".
Many, many, MANY people can understand valuations, banks as well.
Somehow, I doubt that these MLP's referenced below will get a big discount of 25% or more when they buy these gas stations. Why? *because the seller knows the value of what they are selling"
Enjoy the read (it's not the full article, BTW)
OPIS fuel analysis 2015 Outlook predicts | January 27, 2015
GAITHERSBURG, Md. -- The Oil Price Information Service (OPIS) said it expects that "dozens" of retail gas station chains will be acquired in 2015 by master limited partnerships (MLPs) and "wannabes," powered by high valuations of wholesale and retail gasoline distribution. This will include refiners on the lookout for retail chains to lock up guaranteed demand, according to OPIS in its newly released 2015 Outlook.
The report cites Marathon Petroleum Corp. , which has a place now for its growing production with the acquisition of Hess Corp.'s retail network in 2014.
The coming year will also see volatility return for oil and gasoline prices, according to Oil Price Information Service (OPIS) in its newly released 2015 Outlook.