Parkland Soon To Become 5th Biggest C-store Chain In Quebec
We seldom see a company that has a discreet, low key business to business presence in Quebec, rising suddenly and magically to an industry’s 5th rank through the acquisition of nearly 350 gas station outlets following two major transactions.
Yet, this is what happens to Parkland Fuel Corporation which will soon join the ranks of the major convenience store leaders in Quebec.
New player in the Quebec convenience store market, Parkland Fuel Corporation is making a big entry with the purchase from Couche-Tard of CST Brands‘ Canadian assets in 2016 for $ 750 million that comprises of Quebec Ultramar convenience store network, which include the Dépanneur du Coin (200 c-stores with gas) banners and the Dépan Express (130 c-stores with gas) franchises. This transaction is expected to be approved by Canadian authorities in the coming months or weeks.
Alberta-based Parkland is a petroleum distribution company founded in 1975 by Jack Donald and his wife Joan. The company describes itself as “one of North America’s fastest growing independent marketers of fuel and petroleum products.” It delivers gasoline, diesel, propane, lubricants, heating oil and other high-quality petroleum products to motorists, businesses, households and wholesale customers in Canada and the United States. Their mission is to be the “partner of choice for customers and suppliers by building lasting relationships through outstanding service, reliability, safety and professionalism” according to the company’s website.
Originating from Red Deer, it operates a network of 1,000 gas station (corporately-owned or through franchises) in English Canada featuring the banner Fas Gas Plus and Race Trac.
Parkland now has a critical mass of well established 344 c-stores with gas in a market it has never truly occupied before. However, it is present in Quebec for the wholesale oil distribution, occupying the Montréal-Est facilities of the former OLCO company.
In addition to the Couche-Tard transaction, Parkland also acquired from Imperial Oil, in parallel, the trademarks of its Marché Express convenience stores, as well as supply and franchise agreements.
Talk about acquiring a critical mass in Quebec!
It will be the first time, it seems, that the company will have to adapt to a market in which the main spoken language is not English, with a network of outlets reaching overall consumers. It will be interesting to see how and to what degree the company and its management will feel comfortable taking their place in Quebec’s corporate and community environment or, rather, keeping a low corporate profile by limiting their involvement to the commercial level. Let’s wait and see.
Photo credit: Bryce Meyer
