0001Kei-chan at night★.Aug. 28, 2024 (Wed) 13:55:02.08ID:YQ6BsFHC9
Jiji Press Economics Department Published on August 28, 2024 at 08:03
People pass by a Seven-Eleven store in Tokyo on the 22nd (AFP Jiji)
Seven & i Holdings has received a takeover proposal from Canadian convenience store giant Alimentation Couche-Tard, sending shock waves both inside and outside the industry. Details of the proposal are unknown, but if Seven & i acquires the company outright, which has a market capitalization of over 5 trillion yen, it would be the largest acquisition of a Japanese company by a foreign company to date. There is a view emerging that the aim is to take over the U.S. convenience store business, where Seven & i has the largest number of stores, and attention is focused on the outcome of the negotiations. “Has the time come when even such a good company is being targeted?” When Seven & i announced on the 19th of this month that it had received an acquisition proposal from Alimentacion, market participants could not hide their surprise. The proposal arrived “several weeks” before the announcement, and Seven & i established a special committee of independent outside directors. We have begun to examine the proposal. Alimentacion operates approximately 17,000 stores, mainly convenience stores attached to gas stations, in about 30 countries and regions, including Canada, the United States, and Europe. The company has grown through repeated mergers and acquisitions (M&A), and its sales for the fiscal year ending April 2024 reached approximately 69.2 billion dollars (approximately 10 trillion yen). In comparison, Seven & i’s sales for the fiscal year ending February 2024 was approximately 11.47 trillion yen. Although it has more stores than Alimentacion, its stock price is inferior and its market capitalization is far behind that of the latter. Ito-Yokado, the general supermarket chain, has decided to close stores and cut staff, but this has not led to an improvement in its performance. It has also been pointed out that the “undervaluation” of the stock price triggered the acquisition proposal. Alimentacion had also made a secret acquisition proposal to Seven & i in 2020, but the negotiations fell through due to the spread of COVID-19. According to sources, at the time, the company was particularly interested in its US business. Since then, Seven & i has further expanded its store network by acquiring the American convenience store chain Speedway, and it is believed that its aim this time is the same. The acquisition also has economic security implications. Seven & I is subject to the Foreign Exchange Law, which regulates foreign investment in Japanese companies. If the government’s preliminary review determines that the acquisition would pose a safety hazard, the company may be ordered to halt the acquisition. It seems inevitable that negotiations for this unprecedentedly large acquisition deal will be protracted. sauce.
Dominant store openings have individual owners fleeing in the night, and companies that cheat customers with fake packaging and operate in a way that benefits no one should be bought up! Maybe things will become a little more legitimate.
>>7 They’re essentially land grabbers They’re only dominant in urban areas, right? They can snatch land from owners who own good land in the city center If they get them to take on debt through their dominance and convenience store accounting, they can take the land as collateral and create Corporate Seven-Eleven.
I think it will be an acquisition through a share exchange, but the stock prices of Western companies are abnormally high, and the weak yen makes Japanese companies cheap.
This is the result of the LDP’s policy of impoverishing Japan, cutting out the middlemen and sending money overseas, so Japan’s national power as a whole is declining.
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