Home News Burger King to Acquire Carrols Restaurant Group for $1 Billion

Burger King to Acquire Carrols Restaurant Group for $1 Billion

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Burger King, a subsidiary of Restaurant Brands International Inc., has recently announced a major agreement to purchase Carrols Restaurant Group Inc., the largest franchisee of Burger King in the U.S. The deal is valued at an impressive $1 billion.

Deal Terms and Benefits

As per the terms of the agreement, Carrols shareholders will receive $9.55 in cash for each share they own, representing a 13.4% premium over the previous day’s closing price of $8.42. This acquisition is expected to enhance Burger King’s market presence and significantly accelerate the remodeling process of Carrols’ current portfolio, bringing it in line with Burger King’s modern image within the next five years.

Carrols’ Impressive Portfolio

Carrols operates an impressive network of 1,022 Burger King restaurants in 23 states across the U.S. With this acquisition, Burger King aims to strengthen its position as a leading fast-food chain in the country.

Stock Performance

While news of the acquisition temporarily halted Carrols’ stock trading in the premarket until 7:30 a.m. Eastern, shares of Restaurant Brands experienced a slight decline of over 1%. Over the past three months, Carrols’ stock has surged a remarkable 49.8%, while Restaurant Brands has witnessed a 23.8% rally. In comparison, the S&P 500 index has gained 9.4%.

Burger King’s acquisition of Carrols signals a dynamic expansion strategy and a commitment to upholding its reputation as an industry leader.

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