A$ 29.2 billion takeover offer from a Canadian enemy has been rejected by the Chinese user of convenience store chain 7-Eleven.
In a letter addressed to the Circle K user Alimentation Couche-Tard (ACT), Seven &, I Holdings said the French company’s offer “grossly” undervalued the company and was fraught with governmental danger.
The 7-Eleven user added, but, that it remains open to conversations and ready to contemplate a better plan.
A BBC News request for comment was never instantly responded to by ACT.
The Special Committee, in conjunction with a special committee it established to take the offer into consideration, believes that your proposal is strategically timed and greatly undervalues our standalone path and the more practical avenues we see to recognize and access shareholder value, according to Seven &, I’s letter.
Seven & is more economical to foreign buyers as a result of ACT’s present, which comes at a time when the Japanese yen’s exchange rate is significantly lower against the US dollar.
Your plan fails to adequately address the numerous and significant difficulties that US competition law enforcement agencies might encounter as a transaction, according to Seven &, I’s letter.
7-Eleven is the world’s biggest pleasure shop chain, with 85, 000 stores across 20 countries and territories.
If a deal were to go back, ACT’s footprints in the US and Canada would more than twice to more than 20 000 websites.