Restaurant Brands takeover progresses

José Parés Gutiérrez of Finaccess Capital has visited New Zealand to oversee the Mexican firm’s takeover of Restaurant Brands. The bid needs to gain approval from shareholders as well as the Overseas Investment Office – however, all signs are pointing to the deal being approved.

“When you learn how to walk you can be tempted to run but most likely you are going to fall down because you are trying to go too fast,” said Parés. “What we like about Restaurant Brands is they like to move, but in a solid, steady way and that’s exactly the same philosophy that we have.”

Finacess, a Mexican investment firm which operates KFC, Pizza Hut, Burger King and Starbucks outlets in Europe and China, offered $9.45 a share for 75 percent of the company – a premium to the $7.60 close and higher than $8.15, the record share price reached by Restaurant Brands in June 2018.

“We believe the 75 percent allows us to get control of the company, we are not shy about that, but it also allows the existing shareholders to continue to be part of the growth story,” he said. He claimed that keeping minority shareholders would keep the company market stable.

Finaccess has had its eye on Restaurant Brands for over a year now, although the takeover bid was only announced towards the end of 2018.

“We ran a very conscious analysis of the opportunities of the business and we came up with what we thought was a fair price,” Pares explained. “It’s a very good price, and it tells you how interested we are and serious we are about the transaction.”

Pares notes the innovation coming out of New Zealand, such as KFC’s flagship Fort Street restaurant where customers can order from kiosks and have their meal delivered to them, is unique in the world, and could potentially be used in other markets.

“It is our intention to leverage our significant resources to fully support their future business development and growth initiatives, both within New Zealand as well as internationally,” Parés said.