Latest news with #Seven & i Holdings
CTV News
23-07-2025
- Business
- CTV News
Seven & i pushes back against Couche-Tard's reasons for deal talks ending
The parent company of 7-Eleven has pushed back against the reasons Alimentation Couche-Tard Inc. gave for why a takeover deal never materialized. Couche-Tard said last week that it was ending a yearlong effort to buy Seven & i Holdings Co. Ltd., saying there had been no sincere or constructive engagement from the Japan-based company over a potential deal. Seven & i's special board committee said Couche-Tard's claims were highly misleading as it rejected the characterization in a letter issued Tuesday. 'We consistently engaged in good faith, and we are disappointed that [Couche-Tard] has decided to walk away from these discussions. We are further disappointed that they have done so in a way that completely mischaracterizes both our engagement and the significant hurdles this transaction faced that they were not committed to resolving,' the letter said. It said that from the start, Couche-Tard didn't take competition concerns seriously, and didn't present a credible plan as to how those concerns would be addressed. Given the scale of the two convenience store chains, Seven & i noted that regulators would likely require a 'very significant divestiture' before approving a deal, but it said Couche-Tard was not able to provide a plan on who could be the buyer or how such a deal would work. Couche-Tard said in its letter last week that it received multiple indications of interest from potential buyers of divested assets, but that Seven & i didn't provide the needed additional information to move those talks forward. The Laval-based company also said in its letter that there was not only a lack of engagement, but also a 'calculated campaign of obfuscation and delay' from Seven & i that reinforced its governance concerns. Couche-Tard initially met with Seven & i on July 23, 2024, with the 7-Eleven owner making talks public in August. The company rejected Couche-Tard's initial offer reportedly worth about US$38.6 billion, leading Couche-Tard to submit a higher offer that media reports suggest was worth US$47 billion. Soon after the second bid, Junro Ito, a member of the family that helped found the company, put forward a new management buyout proposal. But Seven & i resumed talks with Couche-Tard after the family-led effort failed to secure financing. Even as talks resumed, Seven & i announced in March a plan to sell billions of dollars worth of its non-convenience store assets to Bain Capital and launch an initial public offering of its North American 7-Eleven business. The two sides went back and forth with concerns about regulatory approval and a lack of engagement, until on July 16 Couche-Tard said it was ending its bid. Seven & i said it did engage faithfully in the process, and held ten virtual meetings along with the two that Couche-Tard referenced. It said its governance was up to the task, and it was ready to go the distance to determine if a solution could be found. The criticism, including on scripted meetings, demonstrates an unfortunate lack of knowledge of the Japanese market, the board said. 'To suggest that our management presentations were scripted is to misunderstand Japanese culture. Sometimes being different isn't wrong or an act of resistance.' Seven and i said it was disappointed in Couche-Tard ending the process but that it wasn't surprised, pointing to both the regulatory hurdles, and the wider economic issues that have weighed on Couche-Tard. 'We understand and respect the operational, financial and market challenges their business is facing, and we recognize how financing markets have changed. But there is no need to blame Seven & i for that reality.' Couche-Tard's share price had gone from trading around $82 a year ago to about $69 before it announced an end to its deal efforts, which sent its share price up to about $77 to give the convenience store giant about a $73 billion market capitalization. This report by The Canadian Press was first published July 23, 2025. Ian Bickis, The Canadian Press
CNA
18-07-2025
- Business
- CNA
US$46b deal collapses - what doomed Couche-Tard's 7-Eleven takeover?
Canada's Alimentation Couche-Tard on Thursday (17 Jul) pulled its US$46 billion bid to buy Seven & i Holdings – a deal that would have been Japan's largest ever foreign buyout. Couche-Tard, which operates Circle K, spent a year trying to create a global convenience store giant by acquiring the company behind 7-Eleven. CNA's Roland Lim breaks down the abandoned acquisition, which according to Dealogic data, is the largest ever proposed corporate buyout to fall apart in the Asia-Pacific region.
Bloomberg
17-07-2025
- Business
- Bloomberg
Couche-Tard's Failed Bid for Seven & i Sparks Debate Over Japan
By and Alice French Save Alimentation Couche-Tard Inc. 's decision to walk away in frustration from an attempted acquisition of Seven & i Holdings Co. set off a debate in Tokyo as to what lessons foreign companies with ambitions for M&A should draw. The bid was audacious from the start. 7-Eleven convenience stores have one of Japan's most recognizable brands and a takeover would have been the largest by a foreign entity in the country's history. Moreover, the founding Ito family were so opposed to the deal that they turned to one of their archrivals to try and block it.
Yahoo
17-07-2025
- Business
- Yahoo
TSX futures muted with trade updates, corporate news in focus
(Reuters) -Futures for Canada's benchmark index were subdued on Thursday with investors looking for trade updates and assessing corporate news. Futures on the S&P/TSX index .SXFcv1 were unchanged at 1,615.80 points by 06:15 a.m. ET (1015 GMT). Prime Minister Mark Carney said on Wednesday that steel tariff quotas will be introduced for countries with which Canada has free trade agreements, excluding the U.S., in a bid to protect the domestic steel industry. The move follows U.S. President Donald Trump increasing import duties on steel and aluminum to 50% from 25% earlier this month. But existing arrangements with the United States-Mexico-Canada Agreement will be upheld. Investors are monitoring tariff updates with the August 1 deadline quickly approaching. Japan held talks with U.S. Commerce Secretary Howard Lutnick on Thursday and Europe Union's trade chief headed to Washington on Wednesday. In corporate news, Circle K-operator Alimentation Couche-Tard pulled its $46 billion bid to buy 7-Eleven's parent company Seven & i Holdings, saying the Japanese retailer did not engage constructively on the deal that would have created a global convenience store giant. Gold prices edged down on a firmer U.S. dollar while copper prices slid with tariffs in focus. Oil prices inched up. [O/R] [GOL/] [MET/L] TSX ended higher on Wednesday, boosted by technology and financial shares with investors shrugging off increased uncertainty about the Federal Reserve's leadership. U.S. economic data expected later in the day, including weekly jobless figures and June retail sales, will be scrutinized for insight on how the economy is holding up under a shifting tariff and trade policy. FOR CANADIAN MARKETS NEWS, CLICK ON CODES: TSX market report [.TO] Canadian dollar and bonds report [CAD/] [CA/] Reuters global stocks poll for Canada Canadian markets directory Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
17-07-2025
- Business
- Bloomberg
Couche-Tard Drops $46 Billion Bid for Japan's 7-Eleven Owner
Canada's Alimentation Couche-Tard withdrew its $45.8 billion proposal for Seven & i Holdings, blaming a 'calculated campaign of obfuscation and delay' by the Japanese owner of 7-Eleven for ending its year-long pursuit. A deal could have been the largest foreign takeover of a Japanese company. While some questioned whether Couche-Tard might destroy the food quality and customer experience of Japan's famed combini, the talks had raised hopes that the country was finally opening up to foreign takeovers, with improved corporate governance and greater attention to shareholders. 'The moat of Japanese protectionism proved too much for Couche-Tard to cross,' said Andrew Jackson, head of Japan equity strategy at Ortus Advisors. 'It was always highly unlikely that this was going to be successful given Seven & i's positioning as one of Japan's most successful global companies and the fast closing of the ranks.' Still, the talks forced Seven & i to change. The company appointed its first foreign CEO, agreed to sell its superstore business and proposed a ¥2 trillion share buyback. It also announced a possible listing of its US business, although there are doubts over whether such a move is now needed. Seven & i's shares fell around 9% on Thursday, and there's pressure on management to show it can do it alone.
