Top Stories
Japan’s 7-Eleven convenience chain targets aggressive global growth
Global Banking & Finance Review®
Company
TOKYO (Reuters) – Japanese retail giant Seven & i Holdings said on Tuesday it wanted to see huge growth for its 7-Eleven convenience store chain globally, and would be accelerating its entry into Europe, Latin America, the Middle East and Africa.
TOKYO (Reuters) – Japanese retail giant Seven & i Holdings said on Tuesday it wanted to see huge growth for its 7-Eleven convenience store chain globally, and would be accelerating its entry into Europe, Latin America, the Middle East and Africa.
It is aiming to boost the global number of 7-Eleven stores 18% to about 100,000 by 2030 and for the chain to be in 30 countries and regions, up from 20 now.
The plan is part of a large-scale restructuring that involves selling off lower-performing supermarket assets – a strategy pursued after pressure from activist investors.
Since last year, the company has announced the closure of dozens of Ito-Yokado supermarkets, exited its apparel business, and completed the sale of its Sogo & Seibu department store unit. It also agreed to spend more than $2 billion to scoop up convenience stores in Australia and the United States.
7-Eleven North America chief Michael DePinto said the group will “continue to aggressively pursue opportunities” in mergers and acquisitions in the region.
ValueAct Capital, a U.S.-based investor that has harshly criticised the company’s asset allocation and tried to expel its president, last week praised the group’s restructuring plan, saying it would vote in favour of its board nominees.
(Reporting by Rocky Swift; Editing by Edwina Gibbs)
A convenience store is a small retail business that sells a limited range of everyday items such as groceries, snacks, and beverages, typically open for extended hours to provide convenience to customers.
Global expansion refers to the strategy of a business to increase its operations and market presence in international markets, often to reach new customers and increase revenue.
A restructuring plan is a strategy implemented by a company to reorganize its operations, finances, or structure to improve efficiency, reduce costs, or respond to market pressures.
Activist investors are shareholders who use their equity stake in a corporation to push for changes they believe will increase the company's value, often through public campaigns or direct engagement with management.
Mergers and acquisitions (M&A) refer to the process where companies consolidate through various types of financial transactions, including mergers, acquisitions, and takeovers, to enhance their market position.
Explore more articles in the Top Stories category
