Stock to expand its gasoline retailing operations
Parkland Fuel Corp. is buying the assets of Pioneer Energy for $378-million in cash and stock to expand its gasoline retailing operations into Ontario.
Red Deer, Alta.-based Parkland is buying the assets, which include 319 gas stations in Ontario and 74 in Manitoba, from Pioneer Group Inc. and Suncor Energy Inc.
Under the deal, Pioneer Group will receive $76-million in cash and $119-million in Parkland shares. Suncor will get 183-million in cash.
Parkland markets fuels under the Fas Gas, Race Trac Gas, Bluewave Energy and Island Fuels banners. The acquisition will boost its number of gas stations to more than 1,000, or about 9 per cent of the Canadian retail market, it said.
Pioneer operates under its eponymous brand as well as the Esso banner.