Restaurant Brands Asia Limited (RBA), the operator of Burger King in India and Burger King and Popeyes in Indonesia, on Tuesday announced the completion of the transaction under which Inspira Global, through its food and beverage platform Lenexis Foodworks Private Limited, has acquired control of the company.
The transaction has been completed following the conclusion of the mandatory open offer, receipt of the requisite regulatory approvals and fulfilment of customary closing conditions, in accordance with applicable regulations, RBA said in a release.
With a total investment of Rs 2,235 crore, the transaction is one of the largest in the Indian quick-service restaurant segment. Following the transaction, Inspira Global owns 41.78 per cent of the company.
Upon exercising all warrants, Inspira Global’s total aggregate shareholding in the company would increase to 48.04 per cent by infusing a further Rs 450 crore into the company. The board also approved the appointment of Madhusudan Agrawal as chairman of the board and Aayush Agrawal as a non-executive director.
The transaction was first announced in January when Everstone Capital announced it had signed an agreement to sell its entire stake to Inspira Global.
“On completion of the transaction, RBA continues to operate the Burger King and Popeyes brands under its existing master franchise and development agreements with the respective franchisors, both of which are owned by Restaurant Brands International Inc. The agreements for Burger King India and Indonesia were recently extended through 2050, providing long-term visibility for the business and reinforcing RBA’s growth ambitions across India and Indonesia,” the release added.
Madhusudan Agrawal, chairman, RBA, said in the release, “Today marks the beginning of an exciting new chapter for Restaurant Brands Asia. We are inheriting a business built on strong brands, exceptional people and sound operating fundamentals. Our role is not to change what has made the business successful, but to strengthen it with patient capital, disciplined governance and a long-term perspective. We are committed to working closely with the existing leadership team to build on this strong foundation and create enduring value for our shareholders, employees, franchise partners and customers.”
With the fresh infusion of equity, RBA will continue to focus on expanding its restaurant network, enhancing customer experience, investing in technology and digital capabilities, strengthening operational excellence, and creating sustainable long-term value for all stakeholders.
Aayush Agrawal, director, RBA, said, “This acquisition reflects our conviction in India’s long-term consumption story and our belief that enduring businesses are built through operational excellence, customer obsession and disciplined execution.”
He added that he looks forward to accelerating RBA into the next phase of growth.
Source: Business-Standard