Burger King to Return to Public Markets

Here’s an interesting one.

Just 18 months after being taken private in a leveraged buyout, Burger King Worldwide Holdings, one of the world’s largest fast-food chains, plans to list its shares on the New York Stock Exchange through a merger with Justice Holdings, an investment company based in London.

Burger King…. will receive about $1.4 billion in cash and continue to own about 71 percent of the company.

Questions: 1. Yet another cash deal… do you think these will become more common then stock/cash deals? 2. Why are they doing this? Is some of this just for more marketing so people buy their products?

Here’s the article: http://dealbook.nytimes.com/2012/04/03/burger-kin…

4 Comments
 

It's pretty clear they think it is the right time for Burger King to be publicly traded again. They held on to it for only 18 month though, when supposedly 3G Capital targets a holding period of approximately two to four years.

[quote]The HBS guys have MAD SWAGGER. They frequently wear their class jackets to boston bars, strutting and acting like they own the joint. They just ooze success, confidence, swagger, basically attributes of alpha males.[/quote]
 
SonnyZHIt's pretty clear they think it is the right time for Burger King to be publicly traded again. They held on to it for only 18 month though, when supposedly 3G Capital targets a holding period of approximately two to four years.
The timing might be more opportunistic than anything else. The publicly traded aquisition vehicle acquing them has a relatively short time window to make an aquisiton (I think only through 2013), so they may have tolf 3G "now or never" and 3G decided it had to be now.
 

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