Seven & i Holdings Rethinks Strategy Amid Takeover Tensions

Seven & i Holdings unveils plans to focus on its convenience store operations while divesting underperforming businesses. The move is aimed at strengthening its position against a $47-billion takeover bid by Alimentation Couche-Tard. A new holding company, York Holdings, is set to house non-core assets.

Seven & i Holdings has announced a strategic roadmap to divest underperforming businesses and concentrate on its convenience store operations. This move is seen as an effort to counter Canada's Alimentation Couche-Tard's takeover bid, valued at $47 billion.

The Japanese retailer plans to consolidate non-core assets into a new holding company named York Holdings, which will oversee 31 subsidiaries, including superstores, Loft, Akachan Honpo, and Denny's Japan. The parent company will rebrand itself as '7-Eleven Corp' to reflect this strategic pivot.

Amid calls from foreign investors for restructuring, Seven & i aims to transform York Holdings into an equity method affiliate by February 2026, with an IPO planned later. Despite these adjustments, it is uncertain if these measures will fully address criticisms regarding its asset portfolio.

(With inputs from agencies.)