7-Eleven Parent Company Receives New Takeover Bid
Seven & i Holdings, the parent company of convenience store chain 7-Eleven, has received a buyout offer of $58 billion from a member of the family that founded the company, according to a report from Reuters.
The bid from Ito-Kogyo, a company with ties to Vice President Junro Ito who is the son of the late Seven & i Holding’s honorary chairman Masatoshi Ito, is said to be non-binding and under review by a special committee established to review a prior takeover bid by Alimentation Couche-Tard.
The initial $39 billion takeover bid from Couche-Tard in August was rejected by Seven & i Holding just weeks later. The parent company of convenience store chain Circle K later upped its bid to $42.7 billion.
According to the Wall Street Journal, Stephen Hayes Dacus, chair of the special committee now reviewing all takeover bids, said Seven & i Holdings is reviewing all options objectively to realize the company’s potential shareholder value. This includes the bids from Couche-Tard and Ito along with any initiatives that can be implemented on its own.
The ongoing takeover saga of Seven & i Holding comes just weeks after the company announced it would close 444 underperforming 7-Eleven stores in North America. With 13,000 locations in the U.S., Canada, and Mexico, the store closures impact about 3% of stores across the region.
Company officials said the convenience store chain is pursuing sustained business growth and enhanced capital efficiency in the context of a tough consumer spending environment, particularly among young and middle-income earners.
