7-Eleven Malaysia Holdings Berhad

Part 1: Introduction of selected company

        7-Eleven Malaysia Holdings Berhad is an internationalizing enterprise which operates by utilizing convenience store concept. The holding’s subsidiaries, 7-Eleven Malaysia Sdn. Bhd. Is the owner and operator of all the 7-Eleven stores in Malaysia. Having over 30 years of history in Malaysia, it is now the largest convenience stores chain in our nation. There are now over 1900 7-Eleven stores nationwide with more than 900,000 customers visiting daily.

        The specialty of 7-Eleven would be their operating hour of 24/7, which means 24 hours a day and 7 days per week. This mean their operating hours is every day in the year without even a day of break. The company vision is “To be the best retailer of convenience”. As for their mission is “To consistently serve the changing needs of customers for their convenience”.

        The first ever 7-Eleven stores were founded in Texas, United States with the name of Tote'm Stores. It is first founded by J. C. Thompson in the year of 1927. In 1946, the company decided to adopt their current name of 7-Eleven in accordance to their new extended hours from 7 a.m. until 11 p.m. By 1999, the company name changed from The Southland Corporation to 7-Eleven Inc.

        7-Eleven Malaysia become the pioneer convenience stores in Malaysia on 4 July 1984. The first outlet in Malaysia is opened on 9 October 1984 at Bukit Bintang, Kuala Lumpur. The company then decided to provide a unique franchising program to local entrepreneurs upon their achieving 1000 stores nationwide in 2009. This program allows their franchisee to have profit-making stores.

        In 30 May 2014, 7-Eleven register with Bursa Malaysia to become a public listed company in order to offer stock exchange service to the public. Their stock code and stock name are 5250 and SEM respectively. The company offers their Initial Public Offering (IPO) is RM1.38. In issuing their IPO, they had issue 530,325,000 ordinary share at price of RM0.10 each. The price of their shares has since increase to RM 1.395 per share in the recent 3 months.

        The head office of 7-Eleven Malaysia Holdings Berhad is located at Plaza Berjaya, Kuala Lumpur. One of the major auditor firms in Malaysia, Ernst & Young is currently engaged as the auditor of the company. 7-Eleven Holdings have been increasing their revenue for the last 5 years, earning from RM1,462,396,000 to RM2,006,284,000 in 2015. Their largest shareholder is Maybank Nominees (Tempatan) Sdn Bhd. They hold a total of 23.19% of 7-Eleven total shares, equaling to 286,000,000 of shares. By 1 April 2106, the corporate authorize RM300 millions of shares capital to the public.

        On 26 May 2016, 7-Eleven chief executive officer, Gary Brown had announced that 7-Eleven Malaysia Sdn Bhd plan to extend their business by opening more new outlets in Malaysia. They are planning to use about RM87 mil to ensure this plan can run smoothly. Some of their expansion will be including the opening of 200 new stores in year 2016. He also mention that the major part of their capital expenditure will be use to upgrade their company’s information technology (IT) system. This is in accordance to the current trends of online shopping which is popular among many in Malaysia. By having new IT system, customers can now shopping at much lower cost and it will also benefits users by making the transactions easier. In order to further enhance their sales level, 7-Eleven will collaborate with BOXiT to further widen their online service. This collaboration will also increase BOXiT’s sales. This plan is made public on 28 May 2016 by Brown.