Alimentation Couche-Tard has apparently ceased its takeover plans for Midwest convenience store operator Casey’s General Stores, citing the company’s “repeated refusal to negotiate” as the main contributing factor.
The move marks an end to the Canadian group’s attempt since April to acquire shares in the retailer, according to a report by CS News.
“We sincerely appreciate the support we have received from our shareholders, as well as the support from many shareholders of Casey’s,” Alain Bouchard, president and CEO of Couche-Tard, said in a statement.
“From the beginning of this process, Couche-Tard demonstrated the seriousness of its interest in acquiring Casey’s, and we continue to believe that our fully-financed, $38.50 per share cash tender offer was the most attractive strategic alternative available to shareholders of Casey’s. However, we have decided not to continue to pursue our offer given the Casey’s board’s repeated refusal to negotiate with us.”
At Casey’s annual shareholders meeting on 23 September, all of the firm’s board members were re-elected, thereby rejecting a slate of nine directors nominated by Couche-Tard as part of its takeover attempt.
“Couche-Tard approached this opportunity in a disciplined manner and our basic premise is always that a transaction must create value for our shareholders,” Mr Bouchard said. “We look forward to building upon our outstanding track record of delivering growth and value to our shareholders.”
The takeover spotlight now falls on Dallas-based 7-Eleven, which in September presented a non-binding, US$40-per-share bid for Casey’s, and had previously entered negotiations with the Iowa-based chain.
