A customer is seen inside a 7-Eleven convenience store along a street in central Tokyo on September 9, 2024.
Richard A. Brooks | Afp | Getty Images
Seven & i Holdings, the parent of 7-Eleven, said Thursday it will replace CEO Ryuichi Isaka with lead independent outside director Stephen Dacus, making a foreigner the top executive for the first time, according to domestic media.
Dacus will take charge from Isaka on May 27, according to a company filing. Seven & i said that Isaka will remain as senior adviser to the company.
Dacus was currently the head of the company’s special committee that is evaluating a $47-billion takeover bid from Canada’s Alimentation Couche-Tard. He was announced to have stepped down from the committee on March 5, and independent outside director Paul Yonamine replaced him.
The convenience store operator also announced a share buyback of 2 trillion yen ($13.2 billion) and plans to list its North American subsidiary, 7-Eleven Inc.
The company said that it will hold a majority stake in the subsidiary which will be listed in the second half of 2026.
Shares of Seven & i ended the day up 6.11%, as reports about the impending changes emerged on Thursday.
The company also announced that it will sell its superstore business group — consisting of supermarkets — to investment company Bain Capital for 814.7 billion yen ($5.37 billion), with the transaction expected to be completed in September 2025.
It also plans to reduce its stake of banking services arm Seven Bank by selling down its stake to below 40%. Seven Bank will also then be deconsolidated from the company’s balance sheet.
Seven & i said the share buyback will be funded by proceeds from the sale of its superstore business group and the IPO of 7-Eleven Inc.
These buybacks will commence when the sale is completed, and are expected to conclude by the company’s 2030 financial year.
A dividend policy will also be implemented, the company said, adding that “it will continue to maintain or increase per share dividend amount over time for cashflow generated from ordinary business operation.”
Seven & i also provided an update on the takeover bid by Canada’s Couche-Tard, saying that the special committee formed to review the proposal “has been committed to exploring all value creation opportunities, including active and constructive engagement with ACT and will continue to do so.”
It said a consistent hurdle that the Couche-Tard proposal needed to resolve is addressing “the serious U.S. antitrust challenges that any transaction would face.”
The company then revealed that it has been working with Couche-Tard to put together a “potential divestiture package” that could operate effectively and assure competition between Couche-Tard and the buyer of the divested stores, even after a transaction.
The $47-billion bid by Couche-Tard is the only active bid for Seven and i, after a management buyout attempt by the founding family failed to secure the financing needed to take over the convenience store operator last week.