Latest news with #CoucheTard
Yahoo
6 days ago
- Business
- Yahoo
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 in a letter issued Tuesday that Couche-Tard made "highly misleading" claims as it ended its efforts, and that Seven & i consistently engaged in good faith. It says 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 they make a "very significant divestiture" before approving a deal, but Couche-Tard was not able to provide a plan on who could be the buyer or how such a deal would work. Seven & i also pushed back against the characterization that its governance was not up to the task, and suggested that Couche-Tard perhaps did not properly understand the Japanese market. This report by The Canadian Press was first published July 23, 2025. Companies in this story: (TSX:ATD) The Canadian Press 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
Globe and Mail
7 days ago
- Business
- Globe and Mail
7-Eleven parent fires back at Couche-Tard over ‘highly misleading' statement after deal talks break off
Seven & i Holdings Co., the Japanese parent company of the 7-Eleven chain, has issued a fiery public letter accusing Canada's Alimentation Couche-Tard Inc. ATD-T of distorting facts after deal talks between the two companies broke off. Couche-Tard, which owns the Circle K chain, tried for nearly a year to buy 7-Eleven for roughly US$46-billion, but walked away last week. Couche-Tard announced it was pulling the bid in its own blistering public letter accusing the Japanese company of deception and delay. In its responding letter Tuesday, 7&i says Couche-Tard's statement was 'highly misleading' and argued the Japanese company 'consistently engaged in good faith.' It also claimed Couche-Tard failed to take antitrust concerns seriously and demonstrated 'an unfortunate lack of knowledge of the Japanese market.' 'We are disappointed that [Couche-Tard] has decided to walk away from these discussions,' the 7&i statement said. '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.' Alimentation Couche-Tard looking for other targets after pulling Seven & i bid Antitrust concerns in the United States were among the most significant hurdles a potential deal faced. Combining Circle K and 7-Eleven locations in the U.S. would have resulted in roughly 20,000 stores owned by the same company. Casey's General Stores Inc., which has 2,600 stores, would come in a distant second. Analysts have estimated Couche-Tard would have needed to sell as many as 2,000 locations in the United States to satisfy U.S. regulatory concerns with the proposal. 'ACT never deviated from the claim that they had a 'clear path' forward on antitrust approval,' 7&i said. 'But that does not make it true.' The U.S. Federal Trade Commission requested several calls with 7&i about the potential transaction, 'two of which included numerous state Attorneys General, a highly unusual circumstance,' the Japanese company said. 'The critical question was whether ACT could identify a viable buyer who would meet with the FTC's approval,' 7&i said. 'They could not.' Opinion: Couche-Tard shows institutional investors will back big dreams Couche-Tard, which first approached 7&i about a potential transaction in August, 2024, declined to comment on the Japanese company's allegations. It took specific issue with the Canadian company's claim that one of its meetings with executives in Tokyo was brief and 'tightly scripted.' 'To suggest that our management presentations were scripted is to misunderstand Japanese culture,' 7&i said. 'Sometimes being different isn't wrong or an act of resistance.' The deal would have been both the largest-ever foreign takeover of a Japanese company and the largest acquisition Couche-Tard has made since the company was founded in 1980. It also represented the first major test of recent reforms to Japanese foreign investment rules designed to make it easier for cross-border transactions to occur. However, few anticipated the first offer to arrive under the new foreign takeover regime would be for one of the country's most beloved corporate entities. Hedge funds sort out winners and losers as Couche-Tard's bid to buy 7-Eleven owner collapses Japan is by far 7-Eleven's largest market, with 21,756 locations in the country, representing roughly one-quarter of all its stores globally. There are nearly 3,000 7-Eleven stores in Tokyo alone, with many Japanese locations doubling as emergency shelters in case of natural disasters. To address the cultural and business differences, Couche-Tard said it had a Japanese partner to educate the company about specifics of the Japanese market, but 7&i pushed back on this, saying Couche-Tard never shared that information with them. Couche-Tard was planning to borrow tens of billions of dollars to finance the transaction had a deal ultimately been reached. On Tuesday, the 7-Eleven parent said Couche-Tard is facing 'financial and market challenges' and that 'financing markets have changed.' 'But there is no need to blame Seven & i for that reality,' the Japanese company said. 'ACT decided on its own it was easier to walk away.'
Bloomberg
22-07-2025
- Business
- Bloomberg
Seven & i Denies Snubbing Couche-Tard's $46 Billion Takeover Bid
Seven & i Holdings Co. pushed back against Alimentation Couche-Tard Inc. 's assertions that it refused to engage in meaningful talks over a potential merger, saying that the Canadian suitor didn't take antitrust concerns seriously enough and doesn't understand how business is conducted in Japan. The operator of Circle K convenience stores 'decided on its own it was easier to walk away,' the special committee of Seven & i's board said in a statement on Tuesday. The 7-Eleven owner was responding to Couche-Tard's 1,500-word missive issued last week explaining that it was ending its pursuit because of a 'calculated campaign of obfuscation and delay.'
Yahoo
22-07-2025
- Business
- Yahoo
TSX futures edge lower as trade anxiety weighs
(Reuters) -Futures tied to Canada's benchmark index nudged lower on Tuesday as market mood soured over the fading prospects of a U.S.-EU trade deal, while investors tracked corporate earnings to assess the impact of President Donald Trump's tariffs on businesses. Futures on the S&P/TSX index were down 0.2% at 1,622.80 points by 06:43 a.m. ET (1043 GMT). The main Canadian stock index closed flat on Monday. Trade negotiations appeared shaky after EU diplomats said the 27-nation bloc was considering broader counter-measures against Washington. Prospects for an interim trade deal between India and the U.S. have also dimmed, according to Indian government sources. However, U.S. Treasury Secretary Scott Bessent said on Monday the Trump administration is more concerned with the quality of trade agreements than their timing. Meanwhile, the Bank of Canada said in a survey Canadian businesses see less chance of a worst-case tariff scenario but remain cautious, while keeping hiring and investment in check. In commodities, oil prices declined and gold prices retreated from a five-week high. Copper prices drifted higher. In corporate news, Alimentation Couche-Tard said on Monday it was resuming its share repurchase program days after the Circle K-parent scrapped a $46-billion attempt to buy Japan's Seven & I. 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 Sign in to access your portfolio
Yahoo
21-07-2025
- Business
- Yahoo
Couche-Tard restarts share buybacks after ending Seven & i takeover bid
LAVAL — Alimentation Couche-Tard Inc. says it's restarting its share buyback program after it announced last week that it had ended its efforts to acquire the owner of the 7-Eleven chain. Laval, Que.-based Couche-Tard says the Toronto Stock Exchange had approved its program to buy back up to 10 per cent of outstanding shares that, based on its current price, represents about $5.8 billion in shares. The company says the potential repurchasing of about 77.1 million shares is an appropriate use of its cash and an efficient way to create long-term shareholder value. Couche-Tard had been keeping funds on-hand as it tried for more than a year to land a friendly takeover of Japan-based Seven & i Holdings Co. Ltd. in a deal that could have been worth more than $60 billion. The company said last Wednesday it had withdrawn its proposal, citing a lack of constructive engagement from Seven & i. Seven & i said it had engaged in good-faith discussions, but had also expressed concerns about antitrust hurdles and the broad shifts in the global economy that would challenge the prospects of any deal. This report by The Canadian Press was first published July 21, 2025. Companies in this story: (TSX:ATD) The Canadian Press 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
