Activist investor wants Parkland to consider strategic alternatives
By The Canadian Press on March 22, 2023.
CALGARY – An activist investor wants Parkland Corp. to explore strategic alternatives for what it says are the company’s non-core assets with the goal of becoming a more focused fuel and convenience store retailer. In a letter to the Parkland board of directors seeking a meeting, Engine Capital LP says it owns about a two per cent stake in the Calgary-based company, which owns gas stations as well as a refinery in Burnaby, B.C. Engine says it believes that the value creation opportunity at Parkland is significant and that there are meaningful levers for the board to enhance shareholder value. It wants the board to consider strategic alternatives including the possibility of selling or spinning off the Burnaby refinery and the company’s heating oil and propane distribution businesses. The U.S. investment firm says it believes Parkland shares could be worth around $45 per share. Parkland shares closed at $29.21 on the Toronto Stock Exchange on Tuesday. This report by The Canadian Press was first published March 22, 2023. Companies in this story: (TSX:PKI) 9-8
