Circle K operator Alimentation Couche-Tard Inc. has made a proposal to acquire the 7-Eleven owner Seven & i Holdings Co., which is valued at $31 billion. This move, if successful, would mark the largest foreign acquisition of a Japanese company to date. This acquisition aims to form the world’s largest operator of approximately 100,000 convenience stores, a significant expansion for the Canadian-based Couche-Tard.

Alimentation Couche-Tard Inc., or simply Couche-Tard, has 14,302 stores across Canada, the United States, Mexico, Ireland, Norway, Sweden, Denmark, Estonia, Latvia, Lithuania, Poland, Russia, Japan, China, and Indonesia. The company operates its corporate stores mainly under the Couche-Tard, Circle K, and On the Run brands, as well as affiliated brands Mac's Convenience Stores, go! (Go Store), 7-jours, Dairy/Daisy Mart, Becker's and Winks.

The announcement has already caused a notable 23% surge in Seven & i Holdings’ share price, valuing the retailer at around 5.6 trillion yen ($38 billion). The company confirmed that the offer is preliminary and non-binding, indicating that a special committee of independent directors will conduct a thorough review before any binding commitments are made.

Seven & i said Couche-Tard has proposed buying all outstanding shares of the company. Alimentation Couche-Tard confirmed a "friendly proposal" was sent to Seven & i, adding it was focused on reaching a mutually agreeable transaction. One source told Reuters the talks were "at a very early stage".