The letter added: “A consistent threshold issue that we have raised from the outset has been how to put together a divestiture package involving an unprecedented number of 2,000 or more overlapping stores that could be divested to a viable, credible, and independent buyer in a manner that could be stood up to operate effectively on a go-forward basis and assure competition between the buyer and ACT post its acquisition of 7&i.”
Seven & i listed down multiple avenues that were discussed during the negotiations between the two firms.
As a path to mitigate risks, ACT and Seven & i will assess the viability of a divestiture process and identify potential buyers.
Seven & i stated: “We are pleased that ACT has recently agreed to explore the third option we proposed above, and joint outreach by financial advisors to ACT and 7&i to potential buyers has begun.
“We and our advisors believe we can now make progress towards determining whether a credible and actionable remedy and divestiture package can be achieved that would allow a realistic assessment of ACT’s proposal under the areas we noted above—value and certainty of closing.”
Last month Seven & i announced plans for an IPO of its North American stores to fend off an acquisition by Alimentation Couche-Tard.
Click here to sign up to Retail Gazette‘s free daily email newsletter
