Suncor Declares It Won’t Sell Its Petro-Canada Retail Business

Suncor Energy Inc. announced on Tuesday that it will be keeping its Petro-Canada gas station retail business after conducting a review this year in response to criticism from activist investor Elliott Investment Management.

Due to pressure from Elliott Investment, which owns 3% of Suncor, the company changed its CEO back in July and will examine its retail fuel unit by the end of the year due to its poor safety history and weak stock performance.

“After careful consideration, the Board has concluded that retaining and optimizing the company’s retail business will generate the highest long-term value for shareholders,” stated Mike Wilson, chair of Suncor board.

The board announced that the corporation, the second largest oil producer in Canada, will be expanding strategic relationships in non-fuel related companies and optimizing retail locations across the network.

With 1,600 locations across the country, Petro-Canada accounts for 18% of the country’s fuel retail sales.

Original source material for this article taken from here