Investing.com — Japan’s Economy Minister, Ryosei Akazawa, stated on Wednesday that the potential foreign acquisition of retail giant Seven & i is heavily associated with national security. The retail company, which owns 7-Eleven convenience stores, recently declined a $47 billion buyout proposition from Canada’s Alimentation Couche-Tard.
The founding family of the retailer is presently engaged in discussions to privatize the company in order to deflect the takeover attempt.
During a press conference hosted by the Japan National Press Club, Akazawa expressed his concerns about the potential acquisition of Seven & i. He highlighted the importance of convenience stores and their distribution networks in disaster situations, providing hot food to affected individuals.
Akazawa voiced concerns about the possible implications if Seven & i’s convenience store business fell under foreign control and was run solely for profits. He mentioned the need to consider various factors, such as the ability to receive full support during disasters when local people are suffering.
His comments were made in response to questions about the increasing global protectionism on national security grounds, as evidenced by U.S. President Joe Biden’s decision to block Nippon Steel’s $14.9 billion bid for U.S. Steel.
In September, Seven & i was classified as “core” to Japan’s national security, which raised questions about whether it was a defensive strategy. The finance ministry clarified at that time that this new classification would not create obstacles for a potential buyout.
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