04/19/2017 04:16 EDT | Updated 04/19/2017 04:20 EDT

Brookfield-led group to buy all of Loblaw gas stations for $540 million

TORONTO — Loblaw is selling its 213 gasoline stations across the country for $540 million to Brookfield Business Partners and its partners.

Toronto-based Brookfield (TSX:BBU.UN) will rebrand the stations to Mobil but the stations will continue to use the PC Plus loyalty program offered by Loblaw (TSX:L).

The proposed deal is subject to certain conditions, but is expected to occur in this year's third quarter.

Brookfield Business Partners says it sees potential for growing the current network of Loblaw-owned gas stations and associated kiosks after the deal closes.

Loblaw says it expects the deal will be positive for its customers, gas station operators and the company itself.

Canada's largest operator of grocery and pharmacy stores expects to use proceeds from the sale for its corporate activities.