Seven & I Board Opposes ValueAct's Proposal to Remove CEO, Other Directors From Board

By Kosaku Narioka

Seven & i Holdings Co. said Tuesday that its board would oppose a proposal made by San Francisco-based activist investor ValueAct Capital LP to replace board members, including Chief Executive Ryuichi Isaka.

ValueAct has nominated four director candidates for voting on at the general shareholders' meeting in May in order to remove four members of the nomination committee, a stock-exchange filing by Seven & i showed.

San Francisco-based activist investor ValueAct Capital has asked the Japanese retailer to consider a spinoff of the 7-Eleven convenience-store business to remove the stock-price discount associated with a conglomerate structure.

Seven & i said the company has been restructuring itself to focus on the growth of the convenience-store business under Mr. Isaka's leadership.

The company said Kunio Ito would step down as director and that he had helped the company improve corporate governance over the years.

Mr. Ito is one of the four directors that ValueAct sought to remove from the board, according to the stock-exchange filing.

In addition to Mr. Isaka, Seven & i nominated 14 other director candidates, including the 10 candidates that were also proposed by ValueAct.

Write to Kosaku Narioka at [e-mail]

(END) Dow Jones Newswires

April 18, 2023 04:37 ET (08:37 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.