The founding Ito family behind Japanese retailer Seven & I 3382.T aims to raise more than 8 trillion yen ($52 billion) to take it private by the end of this financial year, Japanese public broadcaster NHK reported on Tuesday.
Corporate Japan circles the wagons to protect a national gem, but investor trust will be key.
Jesper Koll, expert director at financial services company Monex group said that Seven & i's founding family is likely to take the company private, teaming up with trading company Itochu. Koll also thinks that "it's just a matter of weeks now before the deal is concluded.
Artisan Partners, a U.S.-based investor in Japanese retail giant Seven & i Holdings , called on the company's special committee to consider a bidding process of competing takeover proposals to secure the highest offer.
Seven & i Holdings, the Japanese owner of 7-Eleven, has declined a $38 billion takeover bid from Canadian competitor Alimentation Couche-Tard (ACT), stating the offer "grossly undervalues" the company and presents significant regulatory challenges. Despite this, Seven & i remains open to discussions and is willing to consider a more favourable proposal.
Japan's Seven & i Holdings is considering launching a management buyout that would see the retailer go private, the Nikkei newspaper and Bloomberg News reported on Wednesday, a deal that could be worth up to 9 trillion yen ($58.2 billion).
SVNDY's convenience store businesses in overseas markets have significant growth potential, as they have relatively lower fresh food sales penetration rates than that for Japan's convenience store operations. Seven & i Holdings stock is attractively valued, taking into account peer valuations and a potential acquirer's updated offer price. My Buy rating for SVNDY stays intact, I remain bullish on Seven & i Holdings considering the stock's appealing valuations and the company's growth runway in international markets.
The historically fragmented industry will likely see lots of M&A in the years ahead.
Convenience store retailer 7-Eleven plans to build up to 500 new convenience stores in 2025 through 2027, the company said at an investor presentation posted late last week by Japanese parent company Seven & i Holdings Co.
Seven & i Holdings' plan to hive off underperforming businesses will allow it to expand its core 7-Eleven convenience stores, its chief executive said on Thursday, as the Japanese retailer looks to avoid a $47 billion Canadian takeover.
7-Eleven announced it will be close more than 400 stores in the fourth quarter of this year. Transcript: Conway Gittens: Investors did some modest buying ahead of an earnings deluge from a number of marquee names.
Seven & i Holdings Co., Ltd. (OTCPK:SVNDY) Q2 2024 Earnings Conference Call October 10, 2024 2:00 AM ET Company Participants Yoshimichi Maruyama - CFO and Managing Executive Officer Fumihiko Nagamatsu - President, Seven-Eleven Japan Joe DePinto - Chief Executive Officer, 7-Eleven, Inc. Ryuichi Isaka - President Conference Call Participants Yoshimichi Maruyama Good afternoon, everybody.