London (CNN) — The Canadian owner of Circle K convenience stores has made a bid for 7-Eleven, making it the largest foreign takeover of a Japanese company ever and the largest cross-border acquisition this year.

In a statement on Monday, Seven & I Holdings, the operator of 7-Eleven, confirmed that it had received an offer from Canada’s Alimentation Couche-Tard to acquire all outstanding shares.

Seven & I said that a “special committee” had been set up to evaluate the proposal, but that no decision had yet been made.

“The Special Committee intends to promptly, carefully and comprehensively examine the proposal, (Seven & I’s) independent plans and other alternatives to increase the company’s value and then provide (Couche-Tard) with a response,” it said.

Couche-Tard confirmed that it was a “friendly” takeover offer for Seven & I, but said there was “no certainty” that a deal would be reached. “The company is committed to reaching a transaction acceptable to both parties,” it said in a statement. Financial details were not disclosed.

Seven & I shares closed nearly 23 percent higher in Tokyo on Monday, pushing the company’s market value above $38 billion. That suggests the deal is worth more than any other foreign takeover in Japan since Dealogic began tracking data in 1995. It would also be the world’s largest cross-border takeover in 2024, according to Dealogic.

The takeover bid comes after the Japanese government made it harder for companies to ignore unsolicited offers. The changes to corporate takeover guidelines are expected to boost foreign investment in the country.

If the deal goes through, Couche-Tard will further expand its already impressive presence in North America, where it operates the Couche-Tard and Circle-K convenience stores, and in Europe, where it also operates the Ingo gas stations.

The combined company would control nearly a fifth of the U.S. convenience store market, said Neil Saunders, managing director of GlobalData. That level of concentration would “almost certainly” attract the attention of the U.S. Federal Trade Commission, he said.

“The other potential obstacle to a merger will be the complexity involved in buying a Japanese company. Although there have been reforms in the country that make takeovers easier, most Japanese companies are very cautious and resistant to change,” he added.

Couche-Tard has made several acquisitions over the past decade, but this takeover would be by far its biggest. It comes more than three years after the group’s failed attempt to buy supermarket chain Carrefour in 2021, when the French government blocked the deal.

Seven & I Holdings operates more than 83,000 stores worldwide, including 7-Eleven stores and the Speedway gas station chain in the United States. The group bought Speedway from Marathon Petroleum for $21 billion in 2021, strengthening its presence in North America.

Although 7-Eleven’s origins lie in Dallas, Texas, it is the late Japanese entrepreneur Masatoshi Ito who built the company into a global brand selling everything from yogurt to prepared meals to medicine. Ito died last year at the age of 98.

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