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Seven i shares untraded with a glut of buy orders
TOKYO, Nov 13 Reuters Japan39;s Seven i Holdings has received a buyout proposal from a member of its founding Ito family, it said on Wednesday following a report that the 7Eleven owner was considering a management buyout offer worth up to 58 billion.
The offer from ItoKogyo, a company linked to Vice President Junro Ito, is nonbinding and is now being reviewed by a special committee previously set up by Seven i, the retailer said in a statement.
No decision has been made regarding the proposal at this time, it added.
Seven i39;s shares were untraded with a glut of buy orders in Tokyo afternoon trade, having been suspended earlier in the day.
The announcement from Seven i comes after Bloomberg News reported that the company is considering a management buyout to go private in a deal worth up to 9 trillion yen 58 billion, including some 6 trillion in financing. That would make it one of the largest management buyouts in history.
Seven i has come under pressure to deliver more for shareholders after Canada39;s Alimentation CoucheTard emerged in August with a takeover bid which sources say it has since sweetened to 47 billion.
Going private would allow the Japanese company to continue under current management and remove pressure from shareholders to sell off more of its assets as well as eliminate the threat…