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7-Eleven’s convenience store chain up for sale

“The business has great momentum and a compelling strategy for growth across convenient food, the continued transformation of our total merchandise offer, digital and format innovation, and new stores. With such a strong platform in place, the shareholders have decided that the time is right for new ownership of the business to oversee the next phase of our growth and development.”

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The company was not providing any further details of the sales process, which has commenced, but a listing on the ASX is considered unlikely given the state of the sharemarket, meaning a trade buyer is the most likely option.

While no one is currently offering a valuation of the privately owned business, a sale could yield billions for the owners, based on recent transactions.

Last month, ASX-listed Viva Energy acquired South Australian fuel and convenience store business OTR Group for $1.15 billion. OTR has 174 integrated fuel and convenience stores in South Australia.

7-Eleven is the third-biggest convenience store operator in Australia behind Viva and Ampol, according to RBC Capital. It owns 250 stores, with the remaining 500 consisting of franchise operations. Integrated fuel and convenience stores account for 612 of its outlets with 192 directly owned by 7-Eleven.

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