Other deals this week include Zijin Mining's $130 million investment in Solaris Resources
Burger King’s parent company has agreed to buy out its biggest franchisee in the U.S. for approximately $1 billion. Also in this week’s deals roundup is Zijin Mining’s $130 million investment in Solaris Resources.
Burger King’s parent company, Restaurant Brands International Inc. (RBI), has agreed to buy out its biggest franchisee in the United States, Carrols Restaurant Group Inc., for approximately $1 billion.
Carrols operates 1,022 Burger King restaurants in 23 states, which is about 15 percent of all U.S. Burger King locations, and 60 Popeyes restaurants in six states.
Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal counsel to RBI, while J.P. Morgan is acting as financial advisor.
Milbank LLP is serving as legal counsel to the Special Committee of the Carrols Board of Directors, while Jefferies LLC is acting as financial advisor.
“Carrols has demonstrated strong and improving restaurant operations over the years,” said Burger King U.S. and Canada President Tom Curtis. “This acquisition is an exciting accelerator to our Reclaim the Flame plan that is focused on relentlessly pursuing a better experience for our guests. We are going to rapidly remodel these restaurants over the next five years or so and put them back into the hands of motivated, local franchisees to create amazing experiences for our guests.”
“Today's announcement is a testament to our more than 24,000 Carrols team members who have helped drive the company to record levels of profitability over the past 12 months,” said Carrols President and CEO Deborah Derby. “These results have allowed us, through this transaction, to deliver immediate and certain value to Carrols shareholders at an attractive premium to the Company's current and historical share prices.”
The deal is anticipated to close in the second quarter of 2024 and is subject to expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as well as other customary closing conditions.
An affiliate of China-based Zijin Mining Group Co., Ltd. is investing approximately $130 million for a 15 percent interest in Solaris Resources Inc., a Vancouver-based copper development company.
Considered one of the giants of the global resources industry, Zijin is not a new player in the Canadian mining sector. Zijin currently has joint ventures in place with Ivanhoe Mines Ltd. and Barrick Gold Corp.
“Zijin is one of the most successful major mining companies in the world,” said Solaris President and CEO Daniel Earle. “We take tremendous pride in announcing our new strategic partnership with Zijin and look forward to leveraging its deep technical expertise and financial capacity in delivering the full potential of one of the last remaining greenfield copper districts at low elevation and adjacent to the infrastructure available globally.”
As part of the agreement, Zijin will have the right to nominate a member to Solaris' board of directors for so long as Zijin owns, controls, or directs at least 5 percent of the outstanding common shares.
In a press release, Solaris announced that the funds from this transaction will be used to advance the company’s flagship Warintza copper project in southeast Ecuador.
Atlas Renewable Energy and Votorantim Cimentos, a Brazil-based construction materials and sustainable solutions company, have signed a Power Purchase Agreement (PPA) to supply and purchase, respectively, 100 MW of solar energy for the next 15 years.
The 100 MW of solar energy will be used to support the needs of Votorantim Cimentos' production units and distribution centers located in the South, Southeast, and Midwest regions of Brazil. This will generate around a third of Votorantim Cimentos’ energy consumption in the country, equivalent to powering around 424,000 homes.
Atlas Renewable Energy CEO Carlos Barrera said, “This partnership with Votorantim Cimentos confirms Atlas' repeated ability to partner with blue chip companies of Latin America's industrial sector to help them make the energy transition. It also contributes to building Brazil's sustainable production supply chain powered by clean energy.”
“This project is an important step in our decarbonization journey and is aligned with Votorantim Cimentos' 2030 Sustainability Commitments,” said Votorantim Cimentos Global Sustainability Director Álvaro Lorenz. “In all the regions where we operate, our focus is to intensify efficiency and incorporate the use of renewable energy, increasing the volume of self-produced clean energy we consume and, consequently, our competitiveness, generating benefits for society and the planet.”
