Second chance at ATD

Article Excerpt

ALIMENTATION COUCHE-TARD $64.76 (Toronto symbol ATD.B: TSINetwork Rating: Average) (1-800-361-2612; www.couchetard.com; Shares outstanding: 567.4 million; Market cap: $36.5 billion; Dividend yield: 0.6%) now has a chance to make another bid to acquire Casey’s General Stores (symbol CASY on Nasdaq). Casey’s has been in its sights before, most recently in 2010 when Couche-Tard’s attempt to buy the firm failed. Japan’s 7-Eleven also bid, and failed. Operating more than 2,000 convenience stores, Casey’s is focused on 14 Midwestern states, but primarily Iowa, Missouri and Illinois. Casey’s is now the target of three activist investors. They want the company to explore strategic alternatives, including a sale. Convenience-store assets remain highly attractive to consolidators like Couche-Tard, and Casey’s is one of the last publicly held chains available. Alimentation Couche-Tard is a buy. buy…