The 7-Eleven convenience-store brand has solidified its presence in Australia, but will disappear from Israel.
7-Eleven International LLC has completed its acquisition of 7-Eleven Australia. The two companies agreed to the U.S. $1.11 billion deal in November 2023. With the closing, 7-Eleven International adds more than 750 convenience stores to its portfolio.
With the successful transition of ownership, 7-Eleven International furthers Seven & i Holdings Co. Ltd.’s commitment to global growth and enhancing the 7-Eleven brand, the Tokyo-based parent company said.
“We are thrilled to become one team and create stronger synergy with 7-Eleven Australia,” said Ken Wakabayashi, president and CEO of 7-Eleven International. “For nearly 50 years, the 7-Eleven Australia team has built the legacy of the brand as a top choice for convenience. Together, we can enhance customer experience in the store.”
The companies identified opportunities to transform 7-Eleven Australia’s merchandise and fuel offer, expand product assortment and introduce new high-quality fresh foods.
“It is about continuing to grow our store network in Australia and providing unrivalled customer experiences and quality products,” said Angus McKay, 7-Eleven Australia CEO and managing director. “My team and I are looking forward to taking advantage of 7-Eleven International’s deep experience in convenience retailing with the leadership of Executive Chairman Shin Abe.”
7-Eleven International is a joint venture of 7-Eleven Inc. and Seven-Eleven Japan, Co. Ltd., which are owned by the holding company, Seven & i. The Seven & i Group has a network of stores in 20 countries and regions with a focus on convenience stores, as well as superstores, specialty stores and financial services.
Israel
Meanwhile, in Israel, 7-Eleven master franchisee Electra Consumer Products Ltd. is closing down its 7-Eleven convenience stores in that country, according to a report by The Jerusalem Post.
In late 2021, 7–Eleven signed a master franchise agreement with Rishon Lezion, Israel-based Electra, a subsidiary of Elco Ltd., an Israeli company with a multi-faceted portfolio of business interests, to develop and operate 7–Eleven stores in Israel. The expansion marked the 7-Eleven brand’s entry into Israel.
The companies opened the first 7–Eleven stores in Israel in Tel Aviv in January 2023. Electra had planned to invest more than $18.62 million in branding and opening of “dozens” of 7-Eleven stores in Israel by the end of 2024, according to the Post.
Electra opened a total of 10 7-Eleven locations, it said, and has closed two stores.
Electra said its 7-Eleven chain lost U.S. $18.32 million in 2023, including $11.58 million in operating expenses, according to the report.
“During the reporting period, the company re-evaluated the business model of operating stores under the 7-Eleven brand,” Electra said in a report cited by the newspaper. “As a result, during the fourth quarter of 2023, the company began considering the possibility of bringing in an investor for operations, in actions working towards significant closure of activities.”
The companies did not respond to CSP requests for comment.
Globally, the 7-Eleven trademark is represented in more than 84,000 stores in 20 countries and regions. 7-Eleven International operates or master franchises approximately 48,000 stores in 16 countries and regions. Irving, Texas-based 7-Eleven Inc. operates, franchises or licenses more than 15,000 convenience stores in the United States, Canada and Mexico. Seven-Eleven Japan Co. Ltd. operates and franchises more than 21,000 stores in Japan.
- 7-Eleven is No. 1 on CSP’s 2023 Top 202 ranking of U.S. convenience-store chains by store count.
In addition to 7-Eleven stores, the company operates and franchises Speedway and Stripes c-stores and the Laredo Taco Company and Raise the Roost Chicken and Biscuits brands in the United States.
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