Burger King pays out whopper US$400 million dividend for Texas Pacific Group, Bain Capital & Goldman Sachs Capital Partners
“Burger King Corp.’s private equity backers are looking to king-size their returns from the chain ahead of its initial public offering, with plans to collect a $400 million dividend, according to Moody’s Investors Services. The payout would put the investors – Texas Pacific Group, Bain Capital and Goldman Sachs Capital Partners – in the black on their investment, as they are believed to have injected $325 million in equity during the $1.5 billion purchase of Burger King in 2002.”
Read more…. “Burger King holders plan whopper dividend: Moody’s says private equity backers will collect $400 million before taking fast-food chain public”, CNNMoney.com (2 Feb 2006)
“In the US a group of three private equity investors consisting of Bain Capital, Texas Pacific Group and Goldman Sachs Capital Partners are reportedly positioning Burger King to go public in 2006. The company’s chief executive told Reuters News that an initial public offering (IPO) is the likely exit strategy.
The company, the world’s second largest burger chain, was previously owned by Diageo before the investment firms bought it for $1.5bn. Burger King was restructured over the past two years, according to Euromonitor International.”