Negotiations within the consortium proposing a ¥9 trillion ($60 billion) management buyout of Seven & I Holdings have stalled over disagreements on who will control the 7-Eleven operator after it is taken private, people familiar with the matter have said.
The founding Ito family and Itochu have yet to reach consensus on the composition of the board of the post-buyout entity, said the people, who asked not to be identified because the information isn’t public. The Nikkei newspaper reported that Itochu was set to pull out of the deal.
Talks are ongoing and may still yield a breakthrough. But if the buyout proposal fails to materialize, Seven & I CEO Ryuichi Isaka may have little choice but to enter negotiations with Circle-K operator Alimentation Couche-Tard, which has proposed to take over the Japanese retailer at a valuation closer to $47 billion.
