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3G Capital acquires Burger King

Deal closed for almost $4bn aggregate.

Burger King Holdings (BKC) and 3G Capital have closed the transaction for acquisition of BKC by a 3G Capital affiliate for nearly $4bn in the aggregate, which also comprises the assumption of outstanding debt.

Bernardo Hees will be chief executive officer of BKC, and Alexandre Behring, who is the managing partner of 3G Capital, will join as co-chairman of the board of BKC with immediate effect, alongside John Chidsey, BKC's chairman and CEO before the transaction is complete.

Hees said that the company is thrilled to complete this transaction and eager to continue building the Burger King brand and enhance the guest experience in its restaurants all over the world.

"We see many exciting opportunities for this business, including developing new product offerings and expanding the brand internationally. We also are looking forward to collaborating closely with our international franchisees in pursuit of growth in areas such as Asia and Latin America," Hees said.

As a result of the completion of the merger, the common stock of BKC will no longer be listed for trading on the New York Stock Exchange, which is expected to be effective by 20 October 2010.

Lazard, JP Morgan Securities and Barclays Capital acted as financial advisors to 3G Capital, while Kirkland & Ellis acted as legal advisor.

Morgan Stanley and Goldman, Sachs & Co acted as BKC's financial advisors. Skadden, Arps, Slate, Meagher & Flom and Holland & Knight acted as its legal advisors.

The Burger King system operates nearly 12,150 restaurants in all 50 states and in 76 countries and the US territories worldwide.

Around 90% of Burger King restaurants are owned and operated by independent franchisees, and many of them are family-owned operations.

New York-based 3G Capital is a global investment firm focused on maximizing the potential of brands and businesses. Affiliates of the firm and its partners have controlling or partial ownership stakes in global companies such as Anheuser-Busch InBev, Lojas Americanas and America Latina Logistica (ALL).