Transactions & Cases Detail
Parkland Fuel acquires Chevron Canada's downstream fuel business for C$1.46B
Oil & Gas
1.46 Billion CAD
On April 18, 2017, Parkland Fuel Corporation ("Parkland") entered into an agreement with Chevron Canada Limited to acquire all of the shares of Chevron Canada R&M ULC, which operates its Canadian integrated downstream fuel business (the "Acquisition").
The Acquisition places important British Columbia infrastructure under experienced Canadian ownership. The business acquired as part of the Acquisition (collectively, the "Acquired Business") consists of: i) 129 Chevron-branded retail service stations principally located in Metro Vancouver, which complement Parkland's existing 44 Chevron-branded sites in British Columbia, ii) 37 commercial cardlock and three marine fueling locations, iii) a complimentary refinery in Burnaby, terminals located in Burnaby, Hatch Point, and Port Hardy, British Columbia, and a wholesale business which includes aviation fuel sales to the Vancouver International Airport.
Parkland will pay approximately C$1.46 billion (US$1,100 million), plus an estimated C$186 million in working capital for the Acquired Business.
McCarthy Tétrault LLP advised Parkland with a team led by Sven Milelli that included Robin Mahood, Claire Sung, Sebastian Nishimoto, Glynnis Morgan and Jerry Nguyen (Corporate and M&A); Paul Cassidy, Monika Sawicka and Kevan Hanowski (Environmental); Gord Nettleton (Oil & Gas); Parisa Gerami, Scott Smythe, Erin O’Callaghan and Robyn Cooper (Real Property); TJ Kang (Tax); David Crane and Vincent Yip (IT/IP); and Donovan Plomp, Lorraine Allard and Ryley Mennie (L&E, Pensions).