Seven & i Holdings Co. receives bids for subsidiary sale
Seven & i Holdings Co. has received bids from several parties to acquire stock in a subsidiary it plans to sell. This move is part of the company's strategy to focus on thwarting a buyout plan by Canadian convenience store operator Alimentation Couche-Tard Inc.
The first round of bids for York Holdings Co., an intermediate holding company established in October, included offers from U.S. investment funds like Fortress Investment Group and major trading company Sumitomo Corp. The deadline for this round was November 28th.
Seven & i plans to eventually sell off a majority stake in York Holdings, which oversees around 30 companies, including supermarket operator Ito-Yokado Co., daily goods retailer Loft Co., and baby goods retailer Akachan Honpo Co. This sale will allow Seven & i to concentrate its resources on its core business, the 7-Eleven convenience store chain.
After conducting due diligence, Seven & i plans to hold a second round of bidding before the end of the year. The company aims to complete the sell-off of York Holdings by February 2026.
Sumitomo Corp., one of the bidders, has expressed interest in leveraging the product development and procurement capabilities of its subsidiaries, such as supermarket chain Summit Inc. and drugstore chain Tomod's Co., to improve the business performance of Ito-Yokado stores and seek synergy with other York Holdings companies.