Couche-Tard Uses Acquisitions to Grow Footprint
Alimentation Couche-Tard is expanding its footprint of convenience stores through an acquisition agreement with supermarket chain Giant Eagle, while eyeing an even bigger deal with 7-Eleven parent company Seven & I Holdings.
Giant Eagle will sell GetGo Cafe + Market, a “food-first” c-store and fueling banner, to the Quebec-based convenience store giant (which owns Circle K stores), according to a media release. The transaction will add 270 locations across Pennsylvania, Ohio, West Virginia, Maryland and Indiana to Couche-Tard’s North American network.
GetGo operates a variety of models, including open-concept stores and stand-alone kiosks. As part of this transaction, Couche-Tard and Giant Eagle have agreed to maintain and partner together on Giant Eagle's myPerks loyalty program.
[Also Read: Couche-Tard Plans to Remodel U.S., Canadian Stores]
The deal is expected to close in 2025. The companies are not disclosing the financial terms of the transaction.
"We are energized by the potential for both Giant Eagle and GetGo as a result of this transaction," Bill Artman, CEO of Giant Eagle, said in the release. "This enhances our focus on our core supermarket and pharmacy businesses, strengthening Giant Eagle and better enabling us to make strategic investments in our people, stores and value proposition while matching GetGo with the perfect partner in Couche-Tard."
In addition, Tokyo-based Seven & i Holdings (7&i) confirmed in an Aug. 19 statement that it has received a “confidential, non-binding and preliminary” acquisition proposal by Couche-Tard after media reports swirled. As a result, 7&i’s board of directors has formed a special committee of independent outside directors, led by chairperson Stephen Hayes Dacus, to review the proposal.
No determination to either accept or reject the proposal has been made at this time, 7&i said.
7-Eleven International is a joint venture between 7-Eleven, Inc. and Seven-Eleven Japan Co., which are owned by 7&i. Globally, the 7-Eleven trademark is represented in over 84,000 stores in 20 countries and regions.
Couche-Tard currently operates more than 16,700 stores in 31 countries and territories, with 13,100 of them offering fuel service.
