ValueAct issues open letter to Board of Seven & i Holdings

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ValueAct Capital

25 Jan, 2022, 19:59 GMT

-  Letter cites lack of strategic focus

-  Dramatic underperformance

-  Urgent need for direct shareholder input

SAN FRANCISCO, Jan. 25, 2022 /PRNewswire/ -- ValueAct Capital ("ValueAct"), a global investment firm with a position of approximately 4.4% of the shares outstanding in Seven & i Holdings ("Seven & i"), who has engaged with the company since 2020, today released an open letter (see attached) to the board of Seven & i requesting they:

  1. urgently conduct a series of hearings to obtain direct shareholder input on key strategic issues, and
  2. create a Strategic Review Committee of outside directors to evaluate strategic alternatives reporting to stakeholders by the end of April, 2022
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open letter to board of Seven & i Holdings

ValueAct has a unique 21-year history of helping companies pursue successful transformations and long-term value creation through private dialogue and constructive relationship building. ValueAct rarely engages publicly but has taken this step because it believes that Seven & i has a lack of strategic focus, an ineffective management structure, and is dramatically underperforming its potential. Despite engaging constructively since 2020, ValueAct has lost confidence in management's ability to set a value-enhancing strategic course without direct and public input from its independent shareholders

Attached: Open Letter to Board of Seven & i Holdings

About ValueAct Capital (VAC)
ValueAct Capital, established in 2000, is a global investment firm managing capital on behalf of some of the world's largest institutional investors. The Firm's goal is to transform companies and help them become 21st Century Global Champions. VAC seeks to identify and invest in high-quality businesses that are temporarily under-valued, taking a patient, collaborative and constructive approach to value building for all stakeholders with long-term investments. The firm generally holds 10-18 investments at any given time, and ValueAct Capital's internal team has built a track record serving on over 50 public company board seats.  For more information, please see https://valueact.com/.  To view the full letter please visit https://valueact.com/presentations/.

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PDF - https://mma.prnewswire.com/media/1733932/open_letter_to_board_of_Seven___i_Holdings.pdf