Restaurant Brands International Inc. has announced the completion of its previously announced acquisition of all issued and outstanding shares of Carrols Restaurant Group, Inc. that are not already held by RBI or its affiliates for $9.55 per share in an all-cash transaction, for an aggregate total enterprise value of approximately $1.0 billion.
With the close of the acquisition, RBI added the largest Burger King franchisee in the United States to its portfolio as part of the Company's Reclaim the Flame plan. As previously announced, the Company will invest a further USD 500 million to accelerate the reimaging of more than 600 Carrols restaurants before refranchising the majority of the acquired portfolio to new or existing smaller franchise operators over the next seven years.
In addition, on May 16, 2024, subsidiaries of RBI entered into an amendment to their existing Credit Agreement, increasing the existing term loan B facility with USD 5.2 billion outstanding to a USD 5.9 billion term loan B facility under the same terms as the existing Term Loan B Facility. The proceeds from the increase in the Term Loan B Facility were used along with cash on hand to complete the acquisition of Carrols, including the payoff of its credit agreement and the redemption and discharge of its outstanding 5.875 percent senior notes due 2029.
Carrols is one of the largest restaurant franchisees in North America. It is the largest Burger King franchisee in the United States, currently operating 1,023 Burger King restaurants in 23 states as well as 59 Popeyes restaurants in six states. Carrols has operated Burger King restaurants since 1976 and Popeyes restaurants since 2019.
Restaurant Brands International Inc. is one of the world's largest quick-service restaurant companies, with over USD 40 billion in annual system-wide sales and over 30,000 restaurants in more than 120 countries and territories. RBI owns four of the world's most prominent and iconic quick-service restaurant brands, including Tim Hortons, Burger King, Popeyes, and Firehouse Subs.
To read more global news, click here.
