The owner of Burger King may want to buy Popeye's and the stock is surging (QSR, PLKI)

pulse

February 13, 2017 8:43 PM

Restaurant Group is considering buying Popeye's, the fried chicken chain, according to people close to the matter.

null

Restaurant Brands International Inc, the owner of the Burger King and Tim Horton's fast-food chains, has approached Popeyes Louisiana Kitchen Inc to express interest in an acquisition, people familiar with the matter said on Monday.

A deal would be a bet by Oakville, Ontario-based Restaurant Brands that it can use its international reach to introduce Atlanta, Georgia-based Popeyes' famous Louisiana-style fried chicken and buttermilk biscuits to more diners globally.

RBI and Popeyes have yet to agree on a deal price, and there is no certainty that negotiations will continue, or that they will lead to any agreement, the people said. Restaurant Brands has also been considering the acquisition of other companies, one of the people added.

The sources asked not to be identified because the matter is confidential. Popeyes declined to comment, while Restaurant Brands did not immediately respond to a request for comment.

Following the news, Popeye's stock surged to a new-all time high in trading. As of 3:20 p.m. ET, the stock was up roughly 10.6% at $73.01 a share.

pulse