Lesson : Japanese Retailer Seven & I Buys US Speedway Chain

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Japanese retailer Seven & i Holdings Co. said Saturday it has completed its $21 billion acquisition of Speedway LLC, a U.S. convenience store chain and gas station network, despite U.S. antitrust officials saying the deal may be "illegal."

The future of Seven & i's purchase of Speedway could be under scrutiny after the acting chairwoman and a commissioner of the U.S. Federal Trade Commission (FTC) said in a statement Friday, "We have reason to believe that this transaction is illegal."

They said the deal raises "significant competitive concerns in hundreds of local retail gasoline and diesel fuel markets across the country."

7-Eleven Inc., a U.S. subsidiary of Seven and i, said in its press release the same day, that completion of the purchase was "legally allowed."

Tokyo-based Seven & i said it has acquired the convenience store and fuel retail businesses of Marathon Petroleum Corp., the U.S. oil refiner that owns Speedway.

The U.S. subsidiary added that to address such competitive concerns, it divested 293 fuel outlets, and was informed that the FTC staff has recommended that the commissioners approve the deal.

In their statement, Acting Chairwoman Rebecca Kelly Slaughter and Commissioner Rohit Chopra said the commission will "continue to investigate to determine an appropriate path forward to address the anticompetitive harm."

Seven & i announced in August last year its plan to buy Speedway, which has about 3,900 stores in the United States, in a bid to expand revenue sources overseas due to a saturated domestic market.



Vocabulary Flash Card Drill

antitrust     独占(どくせん)禁止(きんし)
  • The proposed merger could be an antitrust violation, depending on how the court rules in this case.  
  • 提案された合併は、この場合の裁判所の判決によっては、独占禁止法違反になる可能性があります。
scrutiny     精査(せいさ)
  • The government's actions have been under intense scrutiny by the media since the scandal was uncovered.  
  • スキャンダルが発覚して以来、政府の行動はメディアによって厳しく精査されてきた。
divest     売却(ばいきゃく)する
  • The board of trustees divested $20 million in real estate property.  
  • 理事会は不動産資産の2000万ドルを売却しました。
anticompetitive     (はん)競争(きょうそう)(てき)
  • The FTC takes action to stop and prevent anticompetitive business practices that are likely to reduce competition and lead to higher prices, reduced quality or levels of service, or less innovation.  
  • FTCは、競争を減らし、価格の上昇、サービスの品質やレベルの低下、または革新の低下につながる可能性のある反競争的なビジネス慣行を停止および防止するための措置を講じます。
a bid to     (なに)かをするため努力(どりょく)する
  • Her entry into the competition is a bid to be the first woman to ever win.  
  • 彼女のコンテストへの参加は、これまでに勝った最初の女性になるための入札です。
saturated     飽和(ほうわ)した
  • Your business can still profit in a saturated market by introducing new, innovative products.  
  • 新しい革新的な製品を導入することで、飽和状態の市場でもビジネスに利益をもたらすことができます。

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