It was announced that Loblaw's, the parent company of Real Canadian Superstore and various offshoots like Real Canadian Wholesale and others, has sold all their gas stations, convenience stores and carwashes to Brookfield Business Partners LP. The total number of stations will be 213 of which several are in Winnipeg.
Imperial Oil Ltd has partnered with Brookfield to bring the Mobil brand to Canada through Exxon Mobil Corp. of the United States. Expect the re-flagging to take place over the next several months. The sales nets $540 million for Loblaw's and does not include any refineries.
The deal comes on the heels this week that all of Chevron's gas stations and refinery in Canada which are located in British Columbia have been sold to Red Deer, Alberta-based Parkland for $1.5 billion. This will make Parkland Canada's biggest gas retailer. Parkland owns assets in Manitoba through the purchase of the Pioneer gas stations in 2014 outside Winnipeg.
Last year in Winnipeg, 9 Safeway gas stations were converted to Shell stations.
The Manitoba market will likely see no benefit from the name change. It is the lack of competing refineries that mostly has an impact on prices. The only thing that can push price is aggressive grocery store cross promotion with gas purchase but has limits.
Mobil is one of the more American brands in terms of being recognized. Look for them coming soon to a Superstore near you in months to come.
4 comments:
Sorry to criticize your post, but you did neglect to mention that both the Mobil brand and the Esso brand are both owned by ExxonMobil and Imperial oil already uses the Esso brand in Canada. Some people reading this post may think this is more competition coming to Canada when in fact it is not.
Yes, very true. Mobil is just a brand and Imperial (Esso) is 70% owned by ExxonMobil.
All gas in Winnipeg comes from the same refinery no matter if it is Domo, Costco or Esso. Only the retail owners have different owners.
Was there any word on whether PC pts will continue with Mobil? Probably not :(
My understanding is that points remain. Only ownership and brand of the gas changes.
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