SoftBank and PayPay in Talks to Invest $1.85 Billion in 7-Eleven Parent Seven & i Holdings

SoftBank Group and its payments arm PayPay are in discussions to invest approximately ¥300 billion ($1.85 billion) in Seven & i Holdings, the parent company of 7-Eleven, according to sources familiar with the matter.

The investment aims to help Seven & i counter competition by deploying enterprise artificial intelligence for retail automation and merging its consumer databases with Japan's largest payments network, operated by PayPay.

The deal would give SoftBank and PayPay a significant stake in Seven & i, which operates convenience stores, supermarkets, and other retail outlets across Japan and internationally.

Seven & i has been facing pressure from activist investors and rising competition from online retailers and discount chains. The infusion of capital and technology could strengthen its digital transformation efforts.