TORONTO, June 17, 2016 /CNW/ - Superior Propane, Canada's largest propane distribution company, is pleased to announce the acquisition of Caledon Propane, a propane distributor serving residential and commercial customers in Ontario and Manitoba. Effective June 14, the transaction includes all Caledon facilities and assets. The purchase price was $8 million, representing approximately six times the annual Adjusted EBITDA of the Propane Business.
"I would like to extend a warm welcome to the Caledon team," says Greg McCamus, President of Superior Propane. "With such dedicated staff and a loyal customer base, the Caledon purchase represents a great fit with our business and company culture. Our core propane business in Canada is strong and this acquisition is consistent with our growth strategy, continuing to expand our business both organically and through strategic acquisitions."
Caledon Propane has been a family owned and operated business led by founder and President Hugh Sutherland Sr. since it was established in 1976. All Caledon employees, including Hugh's son Hugh Sutherland Jr., have transitioned to Superior Propane to ensure a seamless changeover for Caledon's customers.
"As it came time for me to retire, it was important to me and my family that the company was secure and our employees and customers were treated with the utmost respect," says Hugh Sutherland Sr. "Superior's team has the expertise to ensure the transaction meets my needs. They have ensured the stability of the company, reliability to our customers and a bright future for our employees."
The Caledon division will continue to operate from existing locations in Bolton, ON and Winnipeg, MB to ensure customers are supported with the high level of service they have come to expect.
About Superior Propane
Superior Propane is Canada's only national provider of portable fuels, equipment and service delivered locally to residential, commercial, agricultural and industrial customers in over 10,000 communities nationwide. In business since 1951, Superior is headquartered in Mississauga, ON and is part of the Energy Services division of Superior Plus LP (TSX: SPB). Superior Propane employs more than 1,000 Canadians and delivers over 1.2 billion litres of propane annually.
SOURCE Superior Propane
Image with caption: "Superior Propane (CNW Group/Superior Propane)". Image available at: http://photos.newswire.ca/images/download/20160617_C3082_PHOTO_EN_716635.jpg
For further information: Teresa Crosato, Senior Manager, Marketing Communications, (905) 285-2480 ext. 5483, [email protected]