The Japanese conglomerate Seven & i Holdings, owner of the well-known 7‑Eleven chain, recently reported a 15% drop in profits in the fourth quarter. This decline raises concerns about the company’s ability to withstand a potential takeover by Canadian powerhouse Alimentation Couche‑Tard. Despite achieving an operating profit of 105.6 billion yen (approximately 726.4 million USD) between December and February – a figure slightly surpassing the eight analyst estimates averaging 94.5 billion yen as compiled by LSEG – the noticeable downturn in profit indicates underlying challenges in an inflation-hit market environment.

Japanese retail giant Seven & i Holdings is poised to unveil a new quarterly report that reveals a 24% drop in profit. This decline is primarily attributed to underwhelming performance in its convenience store segment, complicating the company’s ability to counteract a potential acquisition by Canadian firm Alimentation Couche-Tard.

Alimentation Couche-Tard, the renowned Canadian retail giant owning the Circle-K chain, has recently made a public announcement in Japan regarding its intent to acquire Seven & i Holdings for $47 billion. This bold move marks a significant shift for the company known for its reticence, driven by what Couche-Tard describes as extended interference from the owner of 7-Eleven.

Seven & i Holdings, the Japanese company overseeing the 7-Eleven convenience store chain, is undergoing significant leadership changes in light of a $47 billion acquisition bid from Canadian company Alimentation Couche-Tard. This transaction could mark the largest foreign acquisition in Japanese history.

Recently, shares of Seven & i Holdings Co. $3382.T faced significant pressure following the company's management's failed attempt to initiate a stock buyback amounting to a record 9 trillion yen (60 billion dollars). This situation has intensified competition with Canadian Alimentation Couchetard Inc., prompting the company to reconsider its options.

The Japanese company Seven & I Holdings $3382.T, world-renowned for its famous 7-Eleven stores, has become the focal point of financial news. On Thursday, the company announced that the Ito family, its founders, failed to secure the necessary funding for a management buyout worth $58 billion. This turn of events paved the way for considering a competing bid from the Canadian company Alimentation Couche-Tard $ATD.TO , known for its global retail networks.