Couche-Tard scraps $47bn bid for Seven & i

7-Eleven parent firm accused of bad faith

- ANTON BRIDGE KANE WU SAVYATA MISHRA

Canadian retailer Alimentation Couche-Tard yesterday pulled its $47 billion bid to buy Seven & i Holdings, citing a lack of constructive engagement by the Japanese retailer.

The surprise move ends what could have been the largest foreign takeover of a Japanese company as Circle K operator Couche-Tard sought to create a global convenience store giant by acquiring the company behind 7-Eleven.

“There has been no sincere or constructive engagement from 7&i that would facilitate the advancement of any proposal, contrary to comments made publicly by 7&i representatives,” Couche-Tard said in a letter to its board of directors.

“Rather, you have engaged in a calculated campaign of obfuscation and delay, to the great detriment of 7&i and its shareholders,” the letter said.

Seven & i said in a statement that “while we are disappointed by ACT's decision, and disagree with their numerous mischaracterisations, we are not surprised.”

Seven & i is widely seen as a test case for corporate Japan's openness to foreign takeovers. The withdrawal came after Nippon Steel was able to acquire US Steel in a contentious $14.9 billion transaction.