Restaurant Brands Asia shares in focus as board to meet on January 20 to consider fund raise

Shares of Restaurant Brands Asia Ltd., which operates Burger King and Popeyes in India, are in focus on Friday, January 16, after the company said its board is set to meet next week to consider a fundraising.

The company in an exchange filing on Thursday said that its board is scheduled to meet on January 20 to consider and evaluate fund raise via issue of one or more instruments / securities including equity

shares, warrants or any other convertible or exchangeable securities or debt securities, or a combination of the same.

The same will be via a preferential issue on a private placement basis, rights issue, qualified institutional placement or any other methods or combination as may be considered appropriate, it added.

The fund raise will be subject to approval of the company members and other regulatory and statutory approvals, as applicable.

In November, CNBC-TV18 had reported, citing sources that Everstone Capital had revived its efforts to exit Restaurant Brands Asia, with talks progressing rapidly and multiple parties submitting interest.

The private equity firm, which has a 11.27% stake in the company via QSR Asia Pte Ltd., was said to be advanced negotiations with a mix of financial and strategic bidders.

Sources said the contenders also included a family office of a listed company with an existing QSR footprint, along with other private-equity investors evaluating the deal.

If the transaction moved forward, a change in controlling promoter is likely to trigger an open offer, as required under takeover norms.

Shares of Restaurant Brands Asia ended the previous session 1.9% up at 68.95 apiece. The stock has gained 7.8% in the past month but has declined 11.7% in the past year.

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