ValueAct Capital Activist Presentation Deck
Step 3. Exit Remaining Non-Core Businesses
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Limited group synergies – A leading global consultancy estimated Seven & i group synergies at less than
4% of FY21 operating profit, not significant enough to justify the significant conglomerate discount
Group Synergies (JPY bn)
Synergies % FY21 Operating Profit
14 bn yen
FY2021
Seven Premium
The Seven & i subsidiaries focused on
food retail have significant standalone
scale - enough to have robust private
label product innovation and
procurement leverage. Standalone
competitors with less scale have
strong capabilities in these areas
Centralized procurement
Loyalty program
<4%
Sources: Public company documents, consultancy analysis, VAC analysis
Memo: Operating profit adjusted for amortization of goodwill. Synergies analyzed between Seven-Eleven Japan, Ito-Yokado, and York-Benimaru, where the greatest synergies were expected
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