PE firm Trive Capital and two of its portfolio companies are facing an antitrust lawsuit from JF Petroleum Group, which alleges that Trive engaged in anti-competitive practices to dominate fuel infrastructure distribution and servicing in the US Midwest, according to a report by Reuters.
The lawsuit, filed in a federal court in Iowa, claims that Trive and its portfolio companies, Seneca Companies and OWL Services, orchestrated a market consolidation strategy that restricted competition, drove up fuel prices, and prevented JF Petroleum from operating in Iowa and Southern Illinois.
Dallas-based Trive Capital, which manages over $8bn in assets, has built a presence in the fuel infrastructure space through a series of acquisitions. However, JF Petroleum alleges that Trive’s roll-up strategy has led to anticompetitive conduct, including attempts to block Casey’s General Stores, the third-largest US convenience store chain, from working with JF Petroleum.
In response, Trive dismissed the claims as “without merit” and vowed to fight the lawsuit. Meanwhile, Seneca and JF Petroleum are already locked in a separate legal dispute, with Seneca accusing JF of interfering with customer and employee relationships.
JF Petroleum, a North Carolina-based fuel station supplier, said it had invested millions of dollars to expand into the Iowa and Southern Illinois markets but encountered “unlawful obstacles at every turn.”
The lawsuit seeks unspecified damages and a court injunction to halt the alleged anticompetitive practices. If successful, the case could set a precedent for private equity-backed infrastructure roll-ups, where market consolidation can blur the line between strategic growth and monopolistic control.
