TORONTO and CALGARY, Alberta -- Two major acquisition deals in two days will result in 360 convenience stores changing hands in Canada.
Investment firm Brookfield Business Partners, Toronto, and its partners are acquiring 213 gas stations and convenience stores from grocer Loblaw Cos. Ltd. for approximately $540 million Canadian, the company announced April 19. The gas station network is one of the largest in Canada and generally includes retail kiosks adjacent to Loblaw-owned grocery stores across the country.
Brookfield Business Partners will work with Imperial Oil to rebrand the gas station portfolio to the Mobil fuel brand. This will mark the introduction of the Mobil fuel brand in Canada, building on its profile in the United States.
Separately, Parkland Fuel Corp. has entered into an agreement with Chevron Canada Ltd. to acquire all of the shares of Chevron Canada R&M ULC, which operates its Canadian integrated downstream fuel business that includes 129 Chevron-branded gas stations in the Vancouver, British Columbia, area. The deal was announced April 18.
Subject to satisfaction of customary closing conditions, Parkland, based in Calgary, Alberta, will pay approximately $1.460 billion Canadian ($1.1 billion U.S.), plus an estimated $186 million Canadian ($138.6 million U.S.) in working capital.
The deal also includes 37 commercial cardlock and three marine fueling locations, a refinery in Burnaby, British Columbia, three terminals and a wholesale business that includes aviation fuel sales to Vancouver International Airport.
Watch for details in CSP Daily News.