Parkland enters into agreement to sell its Canadian propane business
Agreement with Avenir Energy part of Parkland goal to divest from non-core assets by the end of 2025.
Parkland Corporation announced it has entered into an agreement with Avenir Energy Ltd. to divest its Canadian commercial propane business for cash consideration of approximately $115 million, and to exclusively supply fuel for ten years.
"This transaction is a big step toward achieving our target of $500 million from the divestment of non-core assets by the end of 2025," says Ian White, president of Parkland Canada. "By focusing on our core assets, we are simplifying our business to improve returns. Driven by our customer focus, we continue to see tremendous opportunity to deliver growth and value from our Canadian business."
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Subject to certain closing conditions, the transaction is expected to close in the fourth quarter of 2024.
