Adweek reported the Circle K acquisition of 7-Eleven is nearing completion, mirroring the Omnicom acquisition of IPG.
Circle K owner Alimentation Couche-Tard stated, “For many years, we have firmly believed that there is a unique strategic fit between Couche-Tard and [7-Eleven owner] Seven & i, and that we can achieve significantly more together than each of our companies can achieve individually, including accelerating the global growth of the iconic 7-Eleven brand and strengthening the Seven & i business in many parts of the world.”
At the start of the Adland deal, Omnicom Group Chairman-CEO-Pioneer of Diversity John Wren stated, “[I]f you look at Interpublic and Omnicom, you look at the people that make it up, including the leadership, we actually share core values. Since the creation of both groups, I think that there’s quite a number of people who have spent time in the [each] other company over their careers,” and IPG advertising brands will “continue to be fully present in order to drive growth.”
To ignore the redundancies of Polar Pop and Froster vs Big Gulp® and Slurpee®—as well as DDB and BBDO vs McCann and FCB—displays delusion, denial, and deception.
Expect staffers at White advertising agencies within Omnicom and IPG to soon be seeking positions at Circle K and 7-Eleven.
Circle K Owner’s Purchase of 7-Eleven Nears Completion
The deal could be worth $50 billion
By Mark Mwachiro
A non-disclosure agreement has been reached between 7-Eleven owner Seven & i and the owner of Circle K, Alimentation Couche-Tard, signaling the potential final steps of a proposed mega-merger between the two convenience store giants.
If the deal is completed, it will be worth nearly $50 billion.
By signing the NDA, the two parties can progress with transaction discussions, facilitate due diligence, and collaborate on plans to engage with regulators.
According to Forbes, Paul Yonamine, chair of Japanese company Seven & i’s special committee looking into the takeover proposal, issued a statement saying, “The execution of the NDA is a positive step in the constructive engagement process with Couche-Tard.”
He added, “We remain committed to pursuing two parallel paths to ensure that value for shareholders and other stakeholders is maximized.”
7-Eleven is owned by the Japanese-based company, while ACT is Canadian-owned with net earnings of around $641.4 million in its most recent fiscal quarter.
In a statement on the proposed merger, ACT said, “For many years, we have firmly believed that there is a unique strategic fit between Couche-Tard and Seven & i, and that we can achieve significantly more together than each of our companies can achieve individually, including accelerating the global growth of the iconic 7-Eleven brand and strengthening the Seven & i business in many parts of the world.”
As part of the NDA, there is a provision that ACT not conduct a hostile takeover while still exploring its growth plans.
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