Parkland Corp. announced that, through its wholly owned U.S. subsidiaries, it has agreed to acquire Lynch Oil and certain of its affiliates. This acquisition strengthens its growth platform across the Pacific Northwest and complements its existing retail, commercial and wholesale businesses in Idaho.
“This acquisition advances our strategy by strengthening our retail convenience network and supply advantage in a growing market where we already have a significant presence,” said Doug Haugh, president of Parkland USA. “We are excited to welcome the Lynch team to Parkland and look forward to growing our customer base and providing them with the quality products and exceptional service they expect.”
Family-owned and operated since 1923, Lynch’s operations are concentrated in southern and central Idaho. This acquisition adds annual fuel sales of over 180 million-liters and includes five large-format convenience stores and forecourts, two travel centers, two stand-alone car washes, and a rail storage terminal. Gross profit from the acquired assets is split roughly 60% retail, convenience, carwash and non-fuel, and 40% commercial and wholesale.
90% of the transaction consideration will be funded out of existing credit facility capacity, and the remaining 10% with Parkland common shares issued from the treasury. The transaction is expected to close in the fourth quarter of 2021.
Parkland services customers across Canada, the United States, the Caribbean region and the Americas through three channels: Retail, Commercial and Wholesale.