TOKYO (Reuters) - Japan's Seven & i Holdings ( SVNDF ) is set to abandon a $58 billion management buyout led by the retailer's founding family after trading house Itochu ( ITOCF ) withdrew from participating in the plan, the Yomiuri newspaper reported on Thursday.

The 7-Eleven convenience store owner will decide the matter at a board meeting soon and will aim to boost its corporate value independently, in the wake of rejecting a $47 billion takeover proposal by Canada's Alimentation Couche-Tard ( ANCTF ), the newspaper reported.

A Seven & i ( SVNDF ) spokesperson could not immediately be reached for a comment when contacted by Reuters on the phone.

Itochu ( ITOCF ), the owner of Seven & i's ( SVNDF ) rival convenience store chain FamilyMart, was bowing out from the management-led buyout, sources told Reuters on Wednesday.

A spokesperson for the Canadian retailer said on Wednesday that Couche-Tard remained committed to reaching a mutually agreeable transaction with Seven & i ( SVNDF ).

After receiving a takeover bid from Couche-Tard last year, Seven & i's ( SVNDF ) founding Ito family had begun talks to take the convenience store owner private in what would be the largest management buyout in history if successful.

Couche-Tard had offered $38.5 billion, but raised it to $47 billion after Seven & i ( SVNDF ) rejected the initial bid.