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Couche-Tard Will Have to Raise Equity in Seven & I Bid: Analysts.

Authors :
Hughes, Stephanie
Source :
Bloomberg.com; 8/20/2024, pN.PAG-N.PAG, 1p
Publication Year :
2024

Abstract

Quebec-based convenience store operator Alimentation Couche-Tard Inc. is planning to acquire global rival Seven & i Holdings, but the deal will require significant financing and cost-cutting measures. Analysts estimate that Couche-Tard will need to raise between $12 billion and $18 billion in equity to cover the transaction price and maintain leverage. The deal could potentially result in a 30% increase in earnings per share for Couche-Tard. However, there are uncertainties surrounding the offer price, deal structure, and regulatory hurdles. The transaction could take up to two years to complete. Couche-Tard has a history of successful deals, but this acquisition represents a significant expansion into unfamiliar markets. [Extracted from the article]

Details

Language :
English
Database :
Complementary Index
Journal :
Bloomberg.com
Publication Type :
Periodical
Accession number :
179103121