Burger King sets its sights overseas after $3.26B sale
AP PHOTO
In this file photo, Burger King crowns are on display at Burger King in Mountain View, Calif. Burger King Holdings Inc. said Thursday that it is selling itself to private equity firm 3G Capital in a deal valued at $3.26 billion.
CHICAGO — Burger King’s new ruler could help its empire expand. Burger King Holdings Inc. sealed a deal Thursday to sell itself for $3.26 billion to 3G Capital, an investment firm with strong ties to Latin America. The fast-food chain’s chairman and CEO, John Chidsey, said the deal will help it expand more rapidly overseas. Chidsey, who will become co-chairman of the company after the tender offer is complete, said the $24-per-share deal also brings 3G Capital’s experience and contacts abroad. “Hopefully they’ll be able to even provide more of an accelerant to the fire,” he told The Associated Press. More than a third of Burger King’s locations are outside the U.S. That’s growing as the company shifts its expansion focus to other countries. In the past year, 90 percent of its new locations were built abroad. Chidsey declined to comment on specific strategies, deferring to 3G Capital. He also declined to comment on potential efforts to cut costs, including possible layoffs.
» Full StoryUS auto sales turn frail in August
DETROIT — Auto sales, once a bright spot in the economic recovery, grew fainter last month.
The pain was widespread. Big car companies General Motors, Ford and Toyota all saw sales slip.
No deal: buyers will see fewer discounts for cars
DETROIT — For years, Americans shopping for cars were treated to all sorts of deals and incentives, especially at the end of summer. Think Cash for Clunkers, which paid up to $4,500, or promotions that offered employee discounts to everyone.
» Full StoryAmericans spend a bit more as economy limps along
WASHINGTON — Americans are spending a little more this summer, but hardly enough to rejuvenate the weakening economy.
What is needed is a bigger boost in salaries and more jobs.
3M to acquire Cogent for about $943 million
NEW YORK — 3M Co., the conglomerate whose products range from Post-Its to respirators, computer arms and films for LCD TV screens, is trying to expand into the security market by buying Cogent Inc. for about $943 millio.
» Full StoryEconomic growth slows to 1.6 pct. in the spring
WASHINGTON — The economy grew at a much slower pace this spring than previously estimated, mostly due to the largest surge in imports in 26 years and a slowdown in companies’ restocking of goods,
The nation’s gross domestic product — th...