CALGARY, March 8, 2016 /CNW/ - Imperial Oil has reached agreements with five fuel distributors in Canada to sell its remaining 497 company-owned Esso retail stations.
Distributors purchasing the sites include Alimentation Couche-Tard Inc. for retail stations in Ontario and Quebec, 7-Eleven Canada Inc. for sites in Alberta and British Columbia, Harnois Groupe pétrolier for sites in Quebec, Parkland Fuel Corp. for sites in Saskatchewan and Manitoba, and Wilson Fuel Co. Limited for sites in Nova Scotia and Newfoundland. These distributors have a proven track record of providing high-quality customer service and operational excellence within the fuels marketing industry in Canada.
"We believe these agreements represent the best way for Imperial to grow in the highly competitive Canadian fuels marketing business," said Rich Kruger, chairman, president and chief executive officer of Imperial. "The Esso brand has a leading presence in Canada through our distributor network and strong prospects for continued growth to the benefit of our customers and shareholders."
More than 1,700 Esso retail stations currently operate in Canada.
The sales are anticipated to close by year-end 2016, subject to regulatory approvals. Proceeds from the transactions are valued at about C$2.8 billion.
The On the Run/Marché Express convenience store franchise will continue to operate at select retail stations within the Esso network under the ownership and management of Parkland Fuel.
Esso's marketing and loyalty programs will continue unchanged.
SOURCE Imperial Oil
Image with caption: "An Esso retail station in Oakville, ON. Media who use the image must credit photographer Chris Gordaneer. (CNW Group/Imperial Oil)". Image available at: http://photos.newswire.ca/images/download/20160308_C5765_PHOTO_EN_637726.jpg
For further information: Investor Relations, Meredith Milne, 587-476-4743; Media Relations: Killeen Kelly, 587-476-7010