Parkland to be acquired by Sunoco in $9.1b deal
Sunoco will acquire all outstanding shares of Parkland in a cash and equity transaction valued at approximately U.S.$9.1 billion, including assumed debt.
Sunoco LP has agreed to acquire Parkland Corporation in a cash and equity transaction valued at approximately $9.1 billion USD, including assumed debt.
Under the terms of the agreement, Sunoco will purchase all outstanding shares of Parkland, offering shareholders a 25% premium based on recent trading averages. The acquisition—if approved—will create the largest independent fuel distributor in the Americas, with an extensive footprint across the United States, Canada, and the Caribbean.
“This strategic combination is a compelling outcome for Parkland shareholders. Sunoco’s commitment to maintaining Canadian operations—including keeping the Calgary head office—underscores its respect for our workforce and market,” said Michael Jennings, Executive Chairman of Parkland.
Sunoco projects more than $250 million in annual synergies by Year 3, with the deal expected to be more than 10% accretive to distributable cash flow per unit. The combination will leverage complementary assets to diversify Sunoco’s portfolio and extend its geographic reach.
The partnership aims to accelerate cash flow generation, supporting reinvestment and future distribution growth, while committing to return to a 4x leverage target within 12–18 months post-close.
Sunoco will retain Parkland’s Calgary headquarters and sustain employment levels across Canada. It also plans to continue operations and invest in Parkland’s Burnaby Refinery, which produces low-carbon fuels and supplies the Lower Mainland region.
In addition, the combined company will support Parkland’s transportation energy infrastructure expansion across Canada and reinvest in markets across Canada, the Caribbean, and the United States.
