Canada’s Alimentation Couche–Tard said it is having exploratory talks with third parties about a potential sale of U.S. stores, which would help it gain regulatory approval should it reach a deal to take over Japan’s Seven & i Holdings.
The Circle-K operator, which has made a $47 billion bid to acquire the 7-Eleven convenience store operator, said it has identified a portfolio of U.S. stores and is in talks to “identify possible acquirers”.
“We believe there is a clear path to obtaining regulatory approvals of a transaction with 7&i and have made a robust proposal to 7&i about our commitment to doing so,” a Couche–Tard spokesperson said.
Seven & i has opposed the bid and maintains that U.S. antitrust law would be a major barrier to a deal. The companies are the top two players in the U.S. convenience store market, with about 20,000 shops between them.
Seven & i on Thursday appointed its first foreign CEO and handed him the task of overhauling its business to fend off the bid.
Incoming chief executive Stephen Dacus said he had spoken with Couche–Tard that day and that talks would continue, but significant regulatory hurdles stood in the way of any merger, particularly in the United States.
Reuters
