Latest news with #SimpsonOil
Bloomberg
3 hours ago
- Business
- Bloomberg
Top Parkland Holder Backs Sunoco Deal, Urges Others to Adhere
The top shareholder in Parkland Corp. said it supports the Canadian fuel distributor's proposed takeover by Sunoco LP, describing the deal as a turning point for the company. Barbados-based investment firm Simpson Oil Ltd., which holds 19.8% of Parkland's outstanding common shares, said it will vote in favor of the transaction and urged other shareholders to do the same.
Cision Canada
4 hours ago
- Business
- Cision Canada
SIMPSON OIL ANNOUNCES ITS SUPPORT FOR THE SUNOCO-PARKLAND TRANSACTION
GRAND CAYMAN, Cayman Islands, June 6, 2025 /CNW/ - Simpson Oil Limited ("Simpson Oil"), the largest shareholder of Parkland Corporation ("Parkland"), holding 19.8% of Parkland's outstanding common shares, announced today that it is supportive of, and intends to vote all of its common shares in favor of, the proposed transaction involving Parkland and Sunoco LP ("Sunoco"). As a long-term shareholder since 2017, Simpson Oil has been an advocate for the significant opportunities available to Parkland with a clear strategic direction overseen by capable leadership free of conflicts and self-interest. A combination with Sunoco will allow Parkland to benefit from operating under a first-class management team with a proven track record of value creation. This should address the lamentable governance and performance issues which have plagued Parkland for years. Parkland's shareholders have the ability to participate in a combined Sunoco-Parkland entity via SunocoCorp units. Simpson Oil believes the proposed transaction is a favourable outcome for Parkland investors. Legal disclaimers: The information contained in this press release does not and is not intended to constitute a solicitation of a proxy within the meaning of applicable corporate and securities laws. Simpson Oil is not making any recommendation to Parkland shareholders regarding the proposed transaction, including whether any shareholder should vote in favor of the proposed transaction. About Simpson Oil: Simpson Oil is a subsidiary of The Simpson Group, a privately-owned, Cayman Islands-based investment company with diverse holdings in the energy, water, and real estate sectors. Simpson Oil controls or beneficially owns 34,444,050 common shares in the capital of Parkland. Simpson Oil's head office address is 94 Solaris Avenue - 2nd Floor, PO Box 30745, Camana Bay, Grand Cayman, KY1-1203, Cayman Islands.
Yahoo
4 hours ago
- Business
- Yahoo
SIMPSON OIL ANNOUNCES ITS SUPPORT FOR THE SUNOCO-PARKLAND TRANSACTION
GRAND CAYMAN, Cayman Islands, June 6, 2025 /CNW/ - Simpson Oil Limited ("Simpson Oil"), the largest shareholder of Parkland Corporation ("Parkland"), holding 19.8% of Parkland's outstanding common shares, announced today that it is supportive of, and intends to vote all of its common shares in favor of, the proposed transaction involving Parkland and Sunoco LP ("Sunoco"). As a long-term shareholder since 2017, Simpson Oil has been an advocate for the significant opportunities available to Parkland with a clear strategic direction overseen by capable leadership free of conflicts and self-interest. A combination with Sunoco will allow Parkland to benefit from operating under a first-class management team with a proven track record of value creation. This should address the lamentable governance and performance issues which have plagued Parkland for years. Parkland's shareholders have the ability to participate in a combined Sunoco-Parkland entity via SunocoCorp units. Simpson Oil believes the proposed transaction is a favourable outcome for Parkland investors. Legal disclaimers: The information contained in this press release does not and is not intended to constitute a solicitation of a proxy within the meaning of applicable corporate and securities laws. Simpson Oil is not making any recommendation to Parkland shareholders regarding the proposed transaction, including whether any shareholder should vote in favor of the proposed transaction. About Simpson Oil: Simpson Oil is a subsidiary of The Simpson Group, a privately-owned, Cayman Islands-based investment company with diverse holdings in the energy, water, and real estate sectors. Simpson Oil controls or beneficially owns 34,444,050 common shares in the capital of Parkland. Simpson Oil's head office address is 94 Solaris Avenue - 2nd Floor, PO Box 30745, Camana Bay, Grand Cayman, KY1-1203, Cayman Islands. SOURCE Simpson Oil Limited View original content: Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-05-2025
- Business
- Yahoo
3 Big Numbers: Examining Sunoco's push for Parkland
This story was originally published on C-Store Dive. To receive daily news and insights, subscribe to our free daily C-Store Dive newsletter. 3 Big Numbers is a weekly column that looks at a few key details from around the c-store industry. Parkland Corp. agreed to sell its business to Sunoco on Monday. This came after years of being pressured to make a change by shareholders and about two years after reportedly turning this particular suitor down. The announcement came on the same day as its latest earnings report and a day before major shareholder Simpson Oil expected to upend Parkland's board of directors. After Simpson unsuccessfully sought a court order to force the vote to go ahead, all eyes are now on the rescheduled company meeting, set for June 24, when shareholders can approve or reject Sunoco's offer. In this week's '3 Big Numbers,' we look at what that deal could mean by examining the buyout price, the number of retail locations involved and how Parkland has fared in the U.S. lately. The valuation of Sunoco's offer for Parkland. We're starting at the top: Sunoco has offered to buy Parkland in a deal worth $9.1 billion. And while the payout will be a boon for Parkland shareholders, Sunoco sees big gains as well, including an estimated $250 million in synergies in three years and 10% accretion to cash flow. Sunoco is no stranger to big M&A. In 2024, it bought fellow energy company NuStar Energy for over $7 billion. Like that deal, Sunoco's interest in Parkland is focused on the energy assets. Its announcement about the deal on Monday centered on energy infrastructure. Retail assets, on the other hand, weren't specifically highlighted. Which brings us to… The total number of retail locations involved in the Parkland deal. Sunoco may not be primarily focused on Parkland's retail arm, but those assets are still part of the package. According to a recent investor presentation, Parkland has close to 4,000 retail locations — 1,350 company-owned c-stores, 2,040 dealer locations and 315 M&M Food Stores globally. Out of those, 645 are in the U.S. Maybe Sunoco will keep those locations. It could be planning to follow BP, which over the past few years took full control of Thorntons and bought TravelCenters of America. Or maybe it'll divest the sites. It did sell more than 200 c-stores to 7-Eleven last year, after all. While Sunoco said the Parkland deal 'further diversifies Sunoco's portfolio and geographic footprint,' retailers will be keeping an eye on this deal to see if Sunoco decides to put those locations on the market. The year-over-year drop in Parkland's U.S. Q1 adjusted EBITDA. In the leadup to the acquisition, one of Simpson Oil's major complaints about Parkland was long-term underperformance. While Parkland pushed back, it repeatedly admitted to difficulties in the U.S. The company even said last year that it would be selling its Florida business, where about half of its c-stores in the U.S. are located. While Parkland cancelled its earnings call on Tuesday, it still released its Q1 earnings report. U.S. adjusted EBITDA came in at $16 million — down $15 million, or nearly half, from the $31 million it brought in this time last year. The decrease was driven by macroeconomic factors suppressing fuel demand and 'regulatory developments that also impacted Parkland's ability to capture supply optimization opportunities associated with moving refined product between Canada and the U.S.,' according to the earnings release. Recommended Reading Parkland to sell struggling Florida business
TimesLIVE
06-05-2025
- Business
- TimesLIVE
Sunoco to buy rival Parkland in $9bn deal
Sunoco will buy Canada-based Parkland in a deal valued at about $9.1bn (R166,457,655,000), including debt, the US fuel supplier said on Monday, a move that would create the largest independent fuel distributor in the Americas. Parkland management hailed the deal as a path to greater financial stability and growth. The company had undertaken a strategic review in March after persistent pressure from Simpson Oil, its largest shareholder with a nearly 20% stake, and activist investor Engine Capital. Simpson expressed its displeasure with the deal on Monday, a sign internal turmoil at the Canadian company is not over. Under terms of the deal, each Parkland share will be exchanged for C$19.80 (R261,86) in cash and 0.295 Sunoco unit, a 25% premium over the seven-day volume-weighted average price. Parkland cancelled its May 6 annual general meeting and instead scheduled a special meeting for June 24 at which Parkland shareholders will vote on the Sunoco transaction. In a statement on Monday, Simpson Oil, which had been trying to wrest control of the company's board by proposing its own proxy slate of board candidates, said it has applied for a court injunction to force Parkland to hold the annual general meeting on May 6 as initially planned. Simpson said Parkland's board is pushing ahead with the deal despite losing shareholders' confidence, calling it a "last-ditch attempt" by the company to retain control. Shares of Sunoco, which operates in wholesale fuel distribution and retail convenience, were down 5.6% at midday while those of Parkland were up 6.3%. The acquisition marks the company's second major deal in recent years. In 2024, Sunoco acquired fuel storage and pipeline operator NuStar Energy for $7.3bn (R133,488,521,240). The Parkland deal is expected to close in the second half of the year and deliver more than $250m (R4,570,880,000) in annual cost savings by the third year. Sunoco said the transaction will boost cash flow by more than 10% and allow the combined company to return to its target debt levels within 12 to 18 months of closing. To fund the cash portion, Sunoco has secured a $2.65bn (R48,451,328,000), 364-day bridge loan, a short-term facility often used to bridge financing gaps in large deals. On a call with analysts, executives said the companies will distribute more than 15-billion gallons of fuel annually and strengthen their position across wholesale and retail markets. Sunoco will keep investing in Parkland's Burnaby Refinery, which makes cleaner, low-carbon fuels, and run it for the long term to supply fuel to the Lower Mainland region in Canada.
