In a surprising move, Indian conglomerate Tata Group announced yesterday the acquisition of Dallas, TX based 7-Eleven, Inc for an undisclosed sum.
Apoo Nahasapeemapetilon, Vice President of Operations for Tata Group said that because this is the first time the company is venturing into the convenience store business, it will setup a new corporation under the Tata Group of companies that will concentrate exclusively on retailing and merchandising.
The new company, to be called Tata Marin, will handle all business generated by the newly acquired 7-Eleven Inc., which currently has more than 50,000 outlets worldwide.
Nahasapeemapetilon, once a 7-Eleven franchisee himself when he lived in Springfield, Oregon, said that it is an exciting move for the company since it expands Tata Group’s reach, not only within India, but to far reaches of the West as well as in many Asian countries.
Simpson Kelkar, a 7-Eleven franchisee living in San Francisco, and who currently owns fifty-one 7-Eleven outlets in the city said that he was equally excited about Tata Group’s acquisition. Kelkar, who also originates from India, said that he will definitely look into opening several stores in his native country, and maybe go back permanently to semi-retire.
Nahasapeemapetilon said that the two companies are still finalizing all the paperwork and tying all the loose ends. But the deal should be final within the end of this month.
Word on Tata Group’s acquisition quickly spread within many areas in India, and has sparked an onslaught of inquiries on how and where to apply for a franchise.
It is not immediately known whether 7-Eleven Inc.’s headquarters will be moved or simply outsourced to other companies in India.
7-Eleven is part of an international chain of convenience stores. 7-Eleven, primarily operating as a franchise, is the world’s largest operator, franchisor, and licensor of convenience stores with more than 50,000 outlets, surpassing the previous record-holder, McDonald’s Corporation.The stores are located in 16 countries with its largest markets being Japan (15,000), the United States (8,200), Thailand (6,800), Indonesia, Canada, the Philippines, Hong Kong, Taiwan, Malaysia, and Singapore.