Seven & I Designated 'Core' Company, Complicating Couche-Tard Takeover Bid

The Japanese government's new classification imposes stricter requirements on foreign acquisitions, potentially hindering the $38.5 billion buyout offer from Canada's Alimentation Couche-Tard.

Seven & I Holdings has been added to Japan's list of 'core' companies, requiring foreign entities to notify the government before acquiring more than 10% of shares.
The classification comes amid a $38.5 billion buyout proposal from Alimentation Couche-Tard, the Canadian owner of Circle K stores.
Seven & I's new status reflects its importance in supplying food and municipal services, especially during natural disasters.
The retailer's move to seek 'core' status was partly in response to activist investor criticism that its assets are undervalued.
The Japanese Ministry of Finance states that the classification will not change the scrutiny level for full company acquisitions.