Burger King buying Tim Hortons for about $11B

Burger King is buying Canadian doughnut chain Tim Hortons Inc. for about $11 billion, creating the world's third-largest fast-food company. The corporate headquarters of the new company will be in Canada, a move that may help Burger King lower its taxes. Burger King will still run its business out of Miami. (Spencer Platt, 2014 Getty Images)
Burger King is buying Canadian doughnut chain Tim Hortons Inc. for about $11 billion, creating the world's third-largest fast-food company. The corporate headquarters of the new company will be in Canada, a move that may help Burger King lower its taxes. Burger King will still run its business out of Miami. (Spencer Platt, 2014 Getty Images)
Set Text Size SmallSet Text Size MediumSet Text Size LargeSet Text Size X-Large
Share
Updated: 8/26 11:12 am

MIAMI (AP) — Burger King is buying Canadian coffee-and-doughnut chain Tim Hortons Inc. for about $11 billion, creating the world's third-largest fast-food company.

The corporate headquarters of the new company will be in Canada, a move that may help Burger King lower its taxes. Burger King will still run its business out of Miami.

Burger King Worldwide Inc. will pay $59.74 in cash and 0.8025 common shares of the new company for each Tim Hortons share. This represents total value per Tim Hortons share of US$85.79, based on Burger King's Monday closing stock price. Alternatively, Tim Hortons shareholders may choose either all-cash or all stock in the new company.

Tim Hortons stock rose more than 10 percent in Tuesday premarket trading. Burger King's shares fell slightly.

 

©2014 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Share
0 Comment(s)
Comments: Show | Hide

Here are the most recent story comments.View All

The views expressed here do not necessarily represent those of FOX23 News.

No comments yet!
Inergize Digital This site is hosted and managed by Inergize Digital.
Mobile advertising for this site is available on Local Ad Buy.