MONTREAL -- Alimentation Couche-Tard, which has its eye on Carrefour, recently submitted a non-binding proposal offering 20 euros for each share of the French food giant.

The day after the talks between the two parties were announced, shares of the operator of convenience stores and gas stations dropped 10.53 per cent, or $4.35, to trade at $36.96 on the Toronto Stock Exchange (TSX) - a sign that investors were not convinced.

In a statement, Couche-Tard said the terms of the transaction were still under discussion, adding that payment, in the event of a transaction, would be "overwhelmingly" made in cash.

There is no certainty that the talks will result in an agreement between the two parties.

In Paris, on Wednesday, Carrefour's share price was listed at 17.5 euros, up 13.32 per cent, which gave it a market value of around 14.25 billion euros (around $22 billion CAN) .

Carrefour, which was founded over 60 years ago, operates nearly 13,000 hypermarkets, supermarkets and convenience stores in France, Spain, Italy, Belgium, Poland, Romania, Brazil, Argentina and Taiwan.

-- this report by The Canadian Press was first published Jan. 13, 2021.