Seven & i Holdings Co. will sell its Sogo & Seibu Co. department stores for an enterprise value of about 250 billion yen ($1.8 billion) to private equity firm Fortress Investment Group.
(Bloomberg) — Seven & i Holdings Co.
will sell its Sogo & Seibu Co. department stores for an enterprise value of about 250 billion yen ($1.8 billion) to private equity firm Fortress Investment Group.
Fortress will team up with Japanese electronics and appliance retailer Yodobashi Holdings Inc.
to bolster the value of the department stores, which are located in prime locations including Tokyo’s Shibuya and Ikebukuro shopping and nightlife districts, Seven & i said in a statement Friday.
Blooomberg News had reported the acquisition earlier this week.
The deal is scheduled to close on February 1 and Seven & i reiterated that it will use the proceeds for shareholder return. The sale was a result of an ongoing “strategic review” by the Seven-Eleven convenience store operator to maximize profitability and shareholder value amid calls by activist investors including ValueAct.
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