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Couche-Tard proposes $7.5 billion to $8 billion for Cumberland Farms, below the chain's $9 billion IPO target, Times reports
The Canadian convenience-store group's reported approach gives TDR Capital and the Issa brothers a sale option as their US listing plan stalls.
HedgeWeekly News Desk ·
Alimentation Couche-Tard has proposed paying between $7.5 billion and $8 billion for Cumberland Farms, the US convenience store and fuel station operator formerly known as EG Group, according to a report in Britain's Times on Saturday that was carried by Reuters. Neither company immediately responded to Reuters' requests for comment.
The reported range falls short of the $9 billion valuation Cumberland Farms has been targeting for a planned US listing. The business runs more than 3,200 convenience stores and fuel stations in the US and Europe. Private equity firm TDR Capital owns half of it, and the Issa brothers each hold 25%.
Cumberland Farms filed in July to list on the Nasdaq Global Select Market under the ticker CMBY, without setting an offering size or price range, shortly after its change of name from EG Group took effect on June 23. It has since put the IPO on hold after drawing takeover interest, including from infrastructure investor Stonepeak. The Times said the company is still committed to a listing, while the Financial Times reported earlier this month that a float is unlikely before 2027.
Why it matters: the approach comes about 15 months after Couche-Tard walked away from its pursuit of 7-Eleven owner Seven & i in July 2025, blaming a lack of constructive engagement; US antitrust questions had been among the biggest open issues in that deal. For TDR and the Issas, an offer below the IPO target sets a certain cash exit against a listing with no public timetable. Investors tracking private equity exits will watch whether the gap to $9 billion narrows and whether Stonepeak or other bidders return.