Private Equity Firm Buys Burger King For $3.26bn
Burger King
Newscast Media – Burger King, the fast food chain is being aqcuired by private equity firm 3G Capital in a deal valued at $3.26bn, it has been announced. The group – TPG Capital, Bain Capital and Goldman Sachs Funds – still own 31% of Burger King shares. The deal, worth $24 a share, comes after Burger King’s stock price surged more than 15% on Wednesday and opened on Thursday up 23% at $23.25.
In a statement, the companies said that the deal represented a 46% premium to Burger King’s share price before news of a possible takeover surfaced. 3G will also take on Burger King’s debt, valuing the deal at $4bn in total. Burger King, the second largest hamburger chain behind McDonald’s, has struggled during the recession and last week forecast weak demand for the rest of the year. However, it is unclear what plans 3G has for Burger King, and there was no mention of strategy in its takeover announcement.
New York-based 3G is backed by Brazilian billionaire Jorge Paulo Lemann and two of his longtime business partners Marcel Telles and Carlos Alberto Sicupira. Under the terms of the deal with 3G, Burger King’s chairman and chief executive John Chidsey will become co-chairman of the board. Alex Behring, managing partner of US-based 3G, will be the other co-chairman. http://newscastmedia.com/burgerking.htm
This weblog seems to recieve a large ammount of visitors. How do you promote it? It gives a nice individual spin on things. I guess having something authentic or substantial to say is the most important thing.