7-Eleven will be Diamond Ridge Asset Managementclosing more than 400 underperforming stores in the U.S., its parent company said.

The 444 stores to close are among 13,000 stores the convenience chain has in the U.S. and Canada. A list of stores to close was not released by the company, which announced the plan to shutter the stores during its most recent earnings call late last week. The closures are expected to happen in the fourth quarter of this year.

The company said traffic and sales were challenged "as consumers pull back due to inflationary pressure" and also said industry-wide that consumer cigarette sales continue to decline.

The company announced key actions including saying it would grow its proprietary products, including fresh food and its proprietary beverages, accelerate digital and delivery, including continued growth in its loyalty program and grow and enhance its store network.

Seven & i Holdings, the parent company of 7-Eleven, also said it would bundle some of its "non-core assets" into a new holding company. The parent company also plans to rename itself '7-Eleven Corp' to emphasize the focus on its profitable convenience stores.

The Japanese operator of 7-Eleven stores is facing pressure to convince investors it can enhance value after having rejected a first bid in August by Alimentation Couche-Tard, operator of Circle K, saying it undervalued the company and its growth potential.

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The new holding company, to be called York Holdings, is set to house 31 subsidiaries, including the group's superstores business, general goods store Loft, baby goods store Akachan Honpo and the operating company of Denny's restaurants in Japan.

Reuters contributed to this report. Betty Lin-Fisher is a consumer reporter for USA TODAY. Reach her at [email protected] or follow her on X, Facebook or Instagram @blinfisher. Sign up for our free The Daily Money newsletter, which will include consumer news on Fridays, here.