Short answer does 711 own Speedway:
Yes, 7-Eleven owns Speedway, which operates as a subsidiary. The acquisition was finalized in May 2020 and made 7-Eleven the largest convenience store chain in the United States.
The Inside Scoop on How 711 Owns Speedway
Are you a fan of convenience stores? Well, buckle up and get ready to hear the inside scoop on how 7-Eleven came to own Speedway, one of the largest convenience store chains in America.
It all started in August of 2019 when Marathon Petroleum Corp announced they were putting their Speedway chain up for sale. At that time, it was estimated to be worth around $15 billion. Companies like Couche-Tard, Murphy USA Inc., and Britain’s EG Group were reportedly interested in bidding on the chain.
However, it wasn’t until a few months later that 7-Eleven threw their hat in the ring to bid on Speedway. In November 2019, parent company Seven & i Holdings Co., which is headquartered in Japan and owns 7-Eleven, made an all-cash offer of billion for the convenience store chain.
This acquisition would not only add over 3900 Speedway locations to 7-Eleven’s already extensive global network of over 70,000 stores but also expand its footprint into areas where they previously had no presence.
But why did 7-Eleven want Speedway so badly? One reason could be that Speedway has consistently been one of the best-performing companies within Marathon Petroleum Corp’s portfolio. According to Convenience Store News, in Q3 of 2019 alone (prior to being put up for sale), Speedway generated revenue of $6.5 billion and had earnings before interest and taxes (EBIT) of $298 million.
Another reason could be that this acquisition will allow them to better compete with other major players within the industry such as Wawa and Sheetz who have also been expanding aggressively throughout different regions across America.
Furthermore, this acquisition provides significant economies of scale for both companies. With increased purchasing power comes lower operating costs through bulk buying agreements with suppliers. This allows for greater efficiencies across both supply chains which can help offset some of the $21 billion price tag paid by 7-Eleven.
In conclusion, the acquisition of Speedway by 7-Eleven is a strategic move that bolsters both companies’ positions within the ever-competitive convenience store sector. With over 10,000 locations combined in North America alone, it’s safe to say that this partnership will be one to keep on your radar for years to come.
Breaking it Down: A Step-by-Step Look at Whether 711 Owns Speedway
One of the hottest debates in the convenience store industry right now is whether 7-Eleven (or 711, as it is affectionately known) owns Speedway. Despite rumors swirling around for months, the convenience giant has not officially announced a takeover.
However, there are many signs pointing to a possible acquisition. So let’s break it down step-by-step and see if we can figure out whether 711 indeed owns Speedway.
Step 1: Who is 7-Eleven?
We all know that 7-Eleven is one of the world’s best-known convenience store chains. They started out selling ice blocks way back in 1927 and have since grown into a global behemoth with over 71,000 stores in eighteen countries!
Step 2: What Is Speedway?
Speedway is another popular chain of gas stations and convenience stores mostly located across America’s Midwest, but also on the East Coast. With over 4,000 locations nationwide and almost $22 billion in revenue last year, it’s crucially positioned itself as one of American’s largest fuel-retailing chains.
Step 3: The Rumors
Since early last year, rumors have been circulating about a possible acquisition by 7-Eleven of Speedway from their parent company Marathon Petroleum Corp., which has been exploring various strategic options regarding its retail-unit operations.
Step 4: The Agreement
Recently there has been an official announcement made regarding this potential deal. Under an agreement between Seven & i Holdings Co., Ltd. who operates the global network of Southern California-based chain stores- ‘’711’’, they are expected to acquire Speedway from Marathon Petroleum Corp for $21 billion! As involved parties wait for regulatory approval.
To sum it up:
For those still unsure about whether or not a deal has occurred between these two giants, yes – According to recent reports that have confirmed this news!
In conclusion:
While observers had previously debated whether 7-Eleven should even consider the purchase, the move is a strategic advantage for Seven & i Holdings Co.’s growth strategy. In completing this deal, 711 becomes one of the world’s largest gasoline stations and convenience store networks and gains influence in a vital market, especially during these challenging times. It must be acknowledged that Successful M&A transactions generally require thoughtful planning and flawless execution in healthy market conditions, clearly not favoring such transactions today however two giants were still able to accomplish this historical milestone in spite of it all. We are excited to witness the benefits that will come from this partnership!
Answering Your Burning Questions: Does 711 Own Speedway? (FAQ)
Are you a frequent visitor to gas stations? If yes, then you must have come across the 711 and Speedway gas stations. Both these famous brands are highly popular in the United States and are known for their convenience and customer service. But did you ever wonder if 711 owns Speedway, or vice versa?
Well, we’ve got the answer to your burning question – NO, 711 does not own Speedway! They are two separate companies that function independently in the gas station industry.
Although 711 (Seven-Eleven) is one of the largest retail chains globally, its primary focus is on franchising convenience stores worldwide. They offer a wide range of products such as beverages, snacks, lottery tickets, cigarettes, etc., in more than 18 countries.
On the other hand, Speedway’s main focus is providing gasoline and diesel fuel at its over 4,000 locations across 34 states nationwide. It’s one of America’s most significant gasoline providers operating under parent company Marathon Petroleum Corporation (MPC).
So why do people confuse 711 and Speedway? The confusion stems from both companies having similar branding designs such as petrol pumps with red/orange colored canopies at their respective locations. Additionally, both brands’ logos consist of prominent numbers that identify each brand uniquely.
In conclusion, now that we’ve cleared up any doubts regarding ownership between Seven-Eleven and Speedway – they’re separate entities that provide services catered towards different aspects of their customer’s needs. While one focuses on running convenient stores globally; The other provides refueling options with well-known locations throughout the United States.
Whether it’s grabbing a coffee or filling up your car tank before embarking on a road trip journey- make sure you keep an eye out for these two exciting gas station experiences during your travels!
