Seven & i Holdings, parent company of 7-Eleven, plans to create a new holding company for its supermarkets, specialty stores and other non-convenience store businesses. The newly named York Holdings Company would consolidate 31 businesses and eventually go public with an IPO.
The Japan-based giant is facing shareholder criticism as it tries to fend off an acquisition by Alimentation Couche-Tard. The Canadian owner of Circle K and other c-store brands has reportedly increased its bid for the company to $47 billion, up from the $38.5 billion it offered for the company in September, according to Reuters.
The changes come as Seven & i faces a tough economic environment. The company revised its guidance for fiscal year 2024, which ends Feb. 28, 2025, and is now projecting total sales will reach $69.7 billion, a 1.2% drop from the $70.3 billion the company had originally projected. Seven & i noted that the “pullback in consumer spending has persisted beyond prior expectations,” and that “store traffic and sales growth [have been] impacted as consumers consolidate trips and reduce shopping occasions,” according to its Q2 earnings release.
Additionally, Seven & i plans to rename itself as the 7-Eleven Corporation as it focuses more intently on its global convenience store business.
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