7-Eleven parent to review takeover bid from Canada’s Couche-Tard

Seven & I Holdings, owner of convenience store chain 7-Eleven, has received a preliminary takeover offer from Canadian convenience store giant Alimentation Couche-Tard, parent of Circle K.

The Japanese company has formed a special committee to review the proposal. A source familiar with the matter told Reuters that the talks are “at a very early stage”.

Details of the offer, including the size of the stake and method of acquisition, were not disclosed. Seven & I’s shares surged by 22.7 per cent following the news on Monday, giving it a market value of 5.6 trillion yen ($38 billion).

If completed, the deal would be the largest acquisition of a Japanese company by a foreign one.

According to Nikkei, the committee will consider whether the proposal is an appropriate assessment of Seven & I’s corporate value and whether it will lead to long-term growth. The board of directors will then make their decision based on the conclusions.

Seven & I currently has 85,000 convenience stores in 20 countries and regions, with plans to expand to 100,000 locations and enter new markets by 2030.

Alimentation Couche-Tard operates approximately 17,000 stores, mainly under the Couche-Tard and Circle K banners, across 30 countries. The company is valued at about $58 billion, with sales of $69.2 billion for the fiscal year ended in April.

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