The company behind 7-Eleven has received a buyout offer from Canadian rival Alimentation Couche-Tard (ACT), which owns the Circle K chain.
Following the news, shares in Tokyo-based Seven & i Holdings jumped over 20%, boosting the company’s market value to around 5.6 trillion yen ($38.5 billion).
Seven & i confirmed it had received a confidential offer from ACT to purchase all its shares. The company formed a special committee to carefully review the proposal, according to BBC.
However, the deal could face scrutiny from competition regulators in North America, as both companies operate thousands of stores in the US and Canada.
Over the years, investors have urged Seven & i to focus on its 7-Eleven brand and sell other assets.
7-Eleven, which originated in the US, was introduced to Japan in 1974 by retail mogul Masatoshi Ito, who passed away in 2023. Thanks to Ito, 7-Eleven has grown into a global powerhouse, with 85,000 stores in 20 countries, particularly across Asia.
Meanwhile, Quebec-based ACT runs around 17,000 stores under the Circle K and Couche-Tard brands across North America, Europe, and Asia, and is valued at around 80 billion Canadian dollars ($58.2 billion).
According to BBC, the potential merger would bring together two of the largest convenience store operators in the world.
https://www.bbc.com/news/articles/cjdk2nyngx9o