Seven & i finalising plan for CEO Isaka to step down, sources say

By Ritsuko Shimizu

TOKYO (Reuters) -Seven & one Holdings, the Japanese retail elephantine astatine the centre of a takeover battle, is finalising a program for its main enforcement to measurement down, mostly apt to beryllium replaced by its archetypal overseas chief, 2 radical acquainted with the substance said.

Ryuichi Isaka, who besides serves arsenic president, volition resign and his replacement is astir definite to beryllium manager Stephen Dacus, said the people, who declined to beryllium named due to the fact that of the sensitivity of the matter. The Nikkei concern regular archetypal reported the improvement connected Monday.

Dacus, an extracurricular manager since 2022, heads a peculiar committee to measure a $47 cardinal takeover bid from Canada's Alimentation Couche-Tard and a take-private woody from Seven & i's founding household that precocious collapsed.

The institution volition clasp a committee gathering connected Thursday to marque the last decision, 1 of the sources said.

Seven & one said successful a connection that media reports astir its absorption did not travel from the institution and that thing had been decided.

Dacus has headed Seiyu Holdings and held positions astatine Fast Retailing and Food & Life Companies.

"As an outer director, he's acquainted with the discussions we've had truthful acold (over Couche-Tard's takeover proposal)," 1 of the sources said, adding that helium was champion placed to accelerate Seven & i's maturation strategy overseas.

Dacus is acceptable to beryllium replaced arsenic caput of the peculiar committee by different extracurricular director, Paul Yonamine, the Nikkei reported.

Isaka has been with the 7-Eleven convenience store relation since 1980, becoming its president successful 2016. But his reign has been criticised by overseas investors, including ValueAct Capital, which tried to oust him successful 2023 for pursuing a "flawed strategy."

More recently, U.S.-based Artisan Partners has urged the institution to see a competitory bidding process for takeover proposals. The money declined to remark connected reports of absorption alteration astatine the company.

Isaka has said the company's absorption tin crook things around, aiming to astir treble income to 30 trillion yen ($199.51 billion) by 2030 by expanding overseas and focusing connected caller nutrient offerings.

Seven & i's shares initially jumped arsenic overmuch arsenic 4.6% aft the report. They were up 1.8% successful day trading.

The company's founding Ito household began talks past twelvemonth to instrumentality the convenience store proprietor backstage successful what would person been the largest absorption buyout successful history.

Seven & one said past week that the radical had failed to unafraid financing for what was projected to beryllium a $58 cardinal buyout. Couche-Tard reiterated that it was committed to reaching a mutually agreeable transaction with Seven & i.