Japanese owner of 7-Eleven Seven & i Holdings rejects Couche-Tard takeover offer

The Japanese owner of 7-Eleven has rejected a takeover offer from Quebec-based Alimentation Couche-Tard Inc.

Seven & i Holdings Co. Ltd. says the proposal by the Canadian convenience store operator “grossly undervalues” the company.

In a letter to Couche-Tard, Seven & i called its offer of US$14.86 per share in cash “opportunistically timed” and said the proposal was not in the best interest of its shareholders and other stakeholders.

It also says the bid did not adequately acknowledge the multiple and significant challenges such a transaction would face from U.S. competition regulators.

The Japanese company says it’s open to engaging in sincere discussions should Couche-Tard put forth a proposal that fully recognizes its stand-alone intrinsic value and addresses its regulatory concerns.

However, it says the current offer by Couche-Tard does not provide a basis for the company to engage in substantive talks regarding a potential deal.

Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark nationalpost.com and sign up for our daily newsletter, Posted, here.