News

Burger King proposes offering of senior discount notes

April 14, 2011

Burger King Capital Holdings LLC, parent company of Burger King Holdings Inc., has announced the launch of an offering of senior discount notes due in 2019. The notes will be co-issued by Burger Capital Finance Inc., another direct subsidiary of BK Capital.

Burger Capital Finance and BK Capital expect the net proceeds of this offering to be approximately $390.9 million. The notes are expected to grow until 2016 and, thereafter, accrue interest.

Burger King said if a suitable strategic investment opportunity is presented prior to this date, all or a portion of the net proceeds from this offering will be used to pursue the opportunity. If not, the proceeds will be used to make a return of capital distribution to 3G Capital prior to the end of this year.

3G Capital officially acquired the company in October for $24 per share in cash, or approximately $4 billion, including the assumption of outstanding debt.