Suncor Energy closes sale of Petro-Canada Lubricants
CALGARY, ALBERTA -- Suncor Energy announced it has closed the previously announced sale of its Petro-Canada Lubricants Inc. business to a subsidiary of HollyFrontier Corporation for gross proceeds of $1.125 billion, subject to customary closing adjustments.
All necessary regulatory approvals in Canada and the US have been received.
"With the closing of this transaction, the anticipated proceeds from divestments agreed to in the past 12 months have now reached $2 billion, significantly exceeding our target of $1 to 1.5 billion, reflecting strong valuations for these non-core assets," said Steve Williams, Suncor president and chief executive officer.
The sale includes PCLI's production and manufacturing center in Mississauga, Ontario 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.
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