June 5 (Reuters) - Canadian fuel distributor Parkland

said on Wednesday it would sell its Canadian commercial

propane business to Avenir Energy for about C$115 million

($84.00 million) in cash amid a push by investors for a

strategic review of the company.

Parkland would also exclusively supply fuel to Avenir for 10

years as part of the agreement, the company added.

"This transaction is a big step toward achieving our target

of C$500 million from the divestment of non-core assets by the

end of 2025," said Ian White, president of Parkland Canada.

Parkland's largest shareholder Simpson Oil, which holds a

19.7% stake, had called for a review of strategic alternatives

for the company in April, including a sale.

Later in the same month, activist investor Engine Capital

backed Simpson Oil's call.

Engine Capital did not immediately respond to a request for

comment.

($1 = 1.3690 Canadian dollars)