Proposed 7-Eleven Buyout Faces Antitrust Scrutiny

Alimentation Couche-Tard, operator of Circle K, has proposed acquiring Seven & i Holdings, the owner of 7-Eleven. This deal is under scrutiny for potential antitrust issues, particularly in the U.S., where both brands hold significant market shares. Retail analyst Bryan Gildenberg anticipates regulatory challenges and possible asset sales to facilitate the merger.

The combination would form a retail behemoth, controlling 12.3% of the U.S. convenience store market. This level of dominance is particularly concerning in regions like Florida and Texas, where there are substantial store overlaps. Although Couche-Tard has fewer global outlets (16,700 compared to 85,800), its higher market valuation ($57 billion versus $38 billion) indicates strong investor confidence.

Should the acquisition be approved, it would represent the largest foreign takeover of a Japanese firm, providing access to Japan's extensive but largely untapped retail sector. Couche-Tard's recent purchase of GetGo highlights its commitment to enhancing food services, an area of strength for both GetGo and 7-Eleven.