The news that 7-Eleven’s parent company, Seven & i Holdings, has received a buyout offer from Canadian rival Alimentation Couche-Tard has sent shockwaves through Japan. This potential acquisition is unprecedented, as it marks the first time a Japanese company of such a size could be bought by a foreign firm.

7-Eleven, known as the world’s largest convenience store chain with 85,000 outlets across 20 countries and territories, has long been a symbol of convenience and quick, affordable meals. The chain’s stores, which outnumber those of McDonald’s and Starbucks, are particularly popular in Japan and Thailand for their diverse food offerings, including rice balls, sandwiches, cooked pasta, fried chicken, and dumplings. The chain’s appeal has even made it a social media sensation, with dishes like the ham and cheese toastie becoming viral hits on platforms like TikTok.

The offer from Quebec-based Alimentation Couche-Tard, which operates the Circle K chain with nearly 17,000 stores across 31 countries, values Seven & i at over $30 billion before the news of the preliminary offer emerged. This valuation boost led to a surge in 7-Eleven’s shares, which jumped over 20% on Monday before slightly retracting.

The Japanese yen’s current weakness against major currencies and the Japanese government’s push to encourage mergers and acquisitions have contributed to making Seven & i a more attractive and affordable target for foreign investors. According to Manoj Jain of Hong Kong-based hedge fund Maso Capital, these factors are significant in the ongoing discussions.

However, the proposal is still in its early stages and will likely face rigorous scrutiny from competition authorities due to the potential scale of the deal. Despite these challenges, the move underscores the growing global interest in convenience retail and highlights the expanding influence of Canadian firms in the international market.

In Japan, 7-Eleven’s stores are not just a quick stop for snacks but a culinary destination. This popularity has been boosted by celebrities like British singer Ed Sheeran, who recently went viral for trying 7-Eleven snacks in Thailand. This global recognition and cultural impact have solidified 7-Eleven’s position as a major player in the convenience store sector.