3 Big Numbers is a weekly column that looks at a few key details from around the c-store industry.
Sometimes big news can involve very small numbers — like one new c-store introducing a new design, or a new CEO taking over the lone spot at the top of the org chart.
But other times, big news comes with very big numbers that reach into the thousands, millions or even billions.
In today’s “3 Big Numbers,” we’re looking at Seven & i and Alimentation Couche-Tard's proposed deal (again), another round of trouble for the former Mountain Express leaders and PepsiCo’s acquisition of Poppi.
2,000
The approximate number of sites 7-Eleven and Couche Tard may need to divest if they move ahead with their mega merger
The convenience industry is eagerly waiting to hear whether or not Seven & i will accept Couche-Tard’s buyout offer. If the answer is yes, both companies know that they’ll need to divest a bunch of stores, particularly in North America. In a recent note to investors, 7 & i put that potential divestment total at more than 2,000 locations.
As it sizes up its prospects, Seven & i even called out the failed merger of Albertsons and Kroger as a “cautionary tale.” Like 7-Eleven and Couche-Tard, the supermarket giants’ stores overlap in markets across the country, and their selection of C&S Wholesale Grocers, which had limited experience running retail stores, played a large role in sinking the deal — underscoring the importance of picking strong, experienced companies to take over divested stores.
$130 million
The amount of money Mountain Express’ founder allegedly siphoned from the company.
Mountain Express’ bankruptcy continues to ripple through the c-store industry.
The retailer’s 2023 collapse helped fuel the rise (and subsequent fall) of SQRL, led to the birth of InConvenience Inc.’s Gas Spot chain, and left a whole lot of landowners without their expected rent.
Now the bankruptcy trustee has accused former Mountain Express co-CEOs Lamar Frady and Turjo Waded of siphoning about $15 million from the company and founder Barry Birenbaum of taking about $130 million through a variety of means. All three individuals have been summoned to a trial by jury in the U.S. federal court in Atlanta. The former leaders have been under investigation since late 2023, and this marks the first time litigation has come against them.
$1.95 billion
The amount of money Pepsico is spending to purchase prebiotic soda maker Poppi.
While most c-stores still make lots of money off their vast arrays of snacks, sodas and smokes, there have been some moves toward healthier and more functional ingredients.
PepsiCo recently extended its reach in this area by agreeing to buy prebiotic soda maker Poppi for nearly $2 billion. The brand drew $500 million in sales last year and has amassed “a loyal fan base and a demonstrated capacity for growth,” PepsiCo’s U.S. beverages CEO Ram Krishnan said in a statement.
PepsiCo is no stranger to big beverage buyouts. In 2020 it announced that it would spend nearly $4 billion on energy drink brand Rockstar.
