Japanese retail company Seven & i Holdings Co. is reportedly considering selling its superstore operations, including struggling unit Ito-Yokado Co., in the near future. The company had previously announced plans to take its superstore business public, but this process is expected to take several years. However, if a suitable partner is found, Seven & i may opt to sell the business before the initial public offering (IPO), while still retaining certain shares.
The decision to sell the superstore business is part of Seven & i’s efforts to enhance its corporate value by focusing on its convenience store operations. Additionally, it may serve as a response to a takeover proposal from Canadian convenience store operator Alimentation Couche-Tard Inc.
In addition to considering the sale of its superstore business, Seven & i is also contemplating reducing its 46.4% stake in Seven Bank.
Previously, Seven & i rejected Couche-Tard’s ¥6 trillion takeover offer on the grounds that it significantly undervalued the company. However, there are indications that Couche-Tard may be considering raising their offer.
These potential changes reflect Seven & i’s strategic efforts to strengthen and streamline their operations while maximizing corporate value and responding effectively to market dynamics and competitive pressures.