7-Eleven to divest 26 stores to make $3.3bn Sunoco acquisition

Seven & i Holdings Co., the Tokyo-based parent company of the 7-Eleven network of convenience stores, has agreed to sell and divest some of its stores in its proposed $3.3 billion acquisition of approximately 1,100 retail fuel outlets from Sunoco, according to the Federal Trade Commission.

Under the terms of the consent agreement, 7-Eleven is required to sell 26 retail fuel outlets that it owns to Sunoco, and Sunoco is required to retain 33 fuel outlets that 7-Eleven otherwise would have acquired. Sunoco intends to convert the acquired or retained stations from company-operated sites to commission agent sites.

The Federal Trade Commission has found that the acquisition between 7-Eleven and Sunoco LP would harm competition in 76 local markets across 20 metropolitan statistical areas.

The complaint alleges that, without a remedy, the acquisition would result in a highly concentrated market in 76 local markets. In 18, there would be a monopoly. In 39, the number of competitors would be reduced from three to two, and in 19, the number of competitors would be reduced from four to three.

The Federal Trade Commission works to promote competition, and protect and educate consumers.