TOKYO—Seven & i Holdings, a Japanese retail firm, has walked away from bidding for Marathon Petroleum Corp’s U.S. Speedway gas stations, Reuters reports. A source said it was the $22 billion price tag that scuttled talks. Seven & i had been talking exclusively to Marathon to purchase the business.
Other reports cited worries about the coronavirus disease 2019 triggering a worldwide economic slowdown as another reason. Last year, Elliott Management, an activist investor, pressured Marathon to split into three companies. In response, Marathon said it would restructure and spin off Speedway.
Seven & i was interested in the deal because it would have increased its portfolio of more than a 1,000 U.S. gas stations and convenience stores. The Japanese company had acquired those stores through a 2017 Sunoco deal. Investors and analysts had predicted the $22 billion price tag would be too high for Seven & i.