BP Products North America Inc. is buying TravelCenters of America for $1.3 billion in cash as it continues a growth strategy beyond petroleum into convenience stores, electric vehicles, and alternative fuels.

TA’s network of around 280 travel centers, strategically-located on major highways across the U.S., complements BP’s existing convenience and mobility business, which is predominantly off-highway.

BP said its global scale and reach will, over time, bring advantages in fuel and biofuel supply. It will provide options to expand and develop new mobility offers, including electric vehicle charging, biofuels, renewable natural gas (RNG) and later hydrogen, both for passenger vehicles and fleets.

The news follows BP’s Feb. 15 announcement that it plans to invest $1 billion in EV charging across the U.S. by 2030. In January, TA announced an agreement with Electrify America to offer electric vehicle charging at select TA/Petro locations, with the first stations planned to be deployed in 2023. TravelCenters of America also is working with Nikola’s energy division to install hydrogen fueling stations for heavy-duty trucks at two TA-Petro sites in California.

Convenience is one of BP's five strategic transition growth engines where it plans significantly grow investment through this decade. By 2030, BP aims for around half its annual investment to go into these transition growth engines. Over 2023-2030 it aims that around half of its cumulative $55 billion to $65 billion transition growth engine investment will go into convenience, bioenergy, and EV charging.

“By enabling growth in EV charging, biofuels and RNG and later hydrogen, we can help our customers decarbonize their fleets,” said Bernard Looney, CEO of BP.

TA’s travel centers, which average around 25 acres, offer a full range of facilities for vehicles and fleet trucks, including more than 600 full-service and quick service restaurants, as well as truck maintenance and repair services.

“Today’s announcement that BP is acquiring TA for $86 per share is a result of the successful implementation of our turnaround and strategic plans,” said TA CEO Jonathan M. Pertchik in a statement. “We have improved our core travel center business, expanded our network, launched eTA to prepare for the future of alternative fuels, and improved our operating and financial results.”

As part of the transaction, TA will enter into amended lease agreements with Service Properties Trust, establishing long-term real estate access.

The acquisition is subject to regulatory and TravelCenters of America shareholder approval.