- Itochu Corp (OTCMKTS: ITOCY) announced that it is planning to take full control of convenience store chain FamilyMart Co. (OTCMKTS: FYRTY) through a tender offer valued at about 580.9 billion yen ($5.4 billion)
Itochu Corp (OTCMKTS: ITOCY) announced that it is planning to take full control of convenience store chain FamilyMart Co. (OTCMKTS: FYRTY) through a tender offer valued at about 580.9 billion yen ($5.4 billion), according to Bloomberg. Itochu — which is a Japan-based trading company — already has 50.1% ownership of FamilyMart and it is offering 2,300 yen per share for the stake it does not own yet. This is a 31% premium of FamilyMart’s closing price of 1,754 yen per share.
The directors of FamilyMart said that they support the tender offer and the talks have been going on since February. Originally, the company’s were planning to discuss the acquisition following the pandemic, but they did not expect it to last as long as it has so far.
FamilyMart is the second-largest convenience store franchiser in Japan with over 15,000 locations. The other major convenience store franchisers include 7-Eleven and Lawson.
If the tender offer goes through, then FamilyMart will become a wholly owned subsidiary of Itochu. Back in 2018, Itochu paid a higher 11,000 yen per share to increase its stake from about 40.7% to 50.1%.
