Young love! It happens so fast. It feels like only yesterday, after all, that we first noticed Burger King and Tim Hortons were holding hands. And now the new couple have made it official — they’ll be merging to create one of the largest fast food companies out there.
Burger King announced today that it’ll be getting together with the Canadian company in a deal worth about $11 billion, reports USA Today, resulting in the third largest quick service restaurant in the world.
The the newly formed entity will boast about $23 billion in sales and have a combined total of more than 18,000 restaurants in 100 countries.
As we heard yesterday, the new company will be based in Canada, where the taxes are slightly easier on big companies, but each brand will stay distinct. No Tim Horton The Burger King Of Coffee or anything weird like that. BK will also still keep U.S. offices in Miami, the two said in a joint statement.
“By bringing together our two iconic companies under common ownership, we are creating a global (quick service restaurant) powerhouse,” said Alex Behring, executive chairman of Burger King and managing partner of 3G Capital, the majority owner of Burger King.
He’ll be the new executive chairman and director of the new organization, with Burger King CEO Daniel Schwartz acting as group CEO and manager of day-to-day operations. Tim Hortons CEO Marc Caira will serve as vice-chairman and a director.
“As an independent brand within the new company, this transaction will enable us to move more quickly and efficiently to bring Tim Hortons iconic Canadian brand to a new global customer base,” Caira said. “At the same time, our customers, employees, franchisees and fellow Canadians can all rest assured that Tim Hortons will still be Tim Hortons following this transaction, including our core values, employee and franchisee relationships, community support and fresh coffee.”
Burger King, Tim Hortons merge into whopper-sized firm [USA Today]