Suncor Energy has closed the previously announced sale of its Petro-Canada Lubricants Inc. (PCLI) business to a subsidiary of HollyFrontier Corp.
The deal, which is subject to customary closing adjustments, is for gross proceeds of US$1.125 billion.
The sale includes PCLI's production and manufacturing centre in Mississauga, Ontario, Canada, and the global marketing and distribution assets held by PCLI including its global offices. Under the terms of the agreement, HollyFrontier will continue to operate the lubricants business under the Petro-Canada trademark.
Suncor Energy has confirmed that all necessary regulatory approvals in Canada and the US have been received.
Steve Williams, Suncor President and Chief Executive Officer (CEO), said: "With the closing of this transaction, the anticipated proceeds from divestments agreed to in the past 12 months have now reached US$2 billion, significantly exceeding our target of US$1billion to US$1.5 billion, reflecting strong valuations for these non-core assets."
Read the article online at: https://www.hydrocarbonengineering.com/refining/03022017/suncor-energy-sells-petro-canada-lubricants-business/