In what is one of the biggestglobal acquisitions to be announced this year, Marathon PetroleumCorp. has agreed to sell its chain of Speedway convenience storesand gas stations to 7-Eleven for $21 billion in cash. Thetransaction is expected to close in the first quarter of 2021,subject to customary closing conditions and regulatoryapprovals.

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The deal includes about 3,900convenience stores. 

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"This acquisition is the largestin our company's history and will allow us to continue to grow anddiversify our presence in the US, particularly in the Midwest andEast Coast," said Joe DePinto, president and CEO of7‑Eleven. 

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7-Eleven's parent, Japan's Seven & i Holdings, has beenseeking a global acquisition to expand beyond its home market,according to CNN. At the sametime  MarathonPetroleum announced it planned to spin off Speedway last October,following pressure from activist investor Elliott Management tosplit Marathon into threecompanies. One of thosecompanies was to be a standalone Speedway.

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"This transaction marks amilestone on the strategic priorities we outlined earlier thisyear," said Michael J. Hennigan, Marathon's president and chiefexecutive officer. "Our announcement crystalizes the significantvalue of the Speedway business, creates certainty around valuerealization and delivers on our commitment to unlock the value ofour assets.

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The benefits of the deal includecomplementary geographic footprints between Speedway and 7‑Eleventhat have little overlap. 7‑Eleven currently has over 9,800 storesin the US and Canada and with Speedway's portfolio of approximately3,900 stores, this acquisition will bring 7‑Eleven's total numberof stores to approximately 14,000 in the US and Canada. Followingthe transaction, 7‑Eleven will have a presence in 47 of the top 50most populated metro areas in the US.

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Nomura Securities International, Inc. and Credit Suisse areacting as 7‑Eleven's financial advisors. Both Nomura and CreditSuisse provided 7‑Eleven's Board of Directors with a fairnessopinion.

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Affiliates of Credit Suisse and Sumitomo Mitsui BankingCorporation (SMBC) provided committed financing for theacquisition. SMBC and SMBC Nikko also provided financial advisoryservices to Seven & i Holdings Co., Ltd. in regards to thefinancing consideration.

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Akin Gump Strauss Hauer & Feld LLP and Nishimura & Asahiare providing legal counsel.

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