Arvada, Colo., based Hill, which claims to be the states largest Chevron lubricants distributor, will expand in the northern part of the state with its purchase of Cox Oil. Cox, based in Greeley, also has operations in Fort Morgan and Wiggins.

Hill Petroleum’s Troy Hill described the transaction as “a perfect fit,” noting that both Hill and Cox are Chevron distributors anduse the same software, among other factors.

Fuels, rather than lubricants,apparently drove the transaction. The acquisition allows Hill Petroleum to establish strategic refueling distribution points for its commercial clients in northeastern Colorado, according to investment banker Houlihan & Smith Co., which advised Hill in the deal. The acquisition will also provide Hill Petroleum with a tremendous increase in contribution margin and significantly enhances the EBITDA of the company.

“The [$14 million] financing will allow Hill to broaden its market in and around the state of Colorado via the acquisition of Cox Oil Co.,” said an executive ofBridge Finance Group, which acted as agent in providing the financing to Hill.