Restaurant Brands International Inc., the parent company of Burger King, has finalized its previously announced purchase of Carrols Restaurant Group, Inc.

In this agreement, RBI is obtaining all remaining shares of Carrols, not currently owned by the company or its affiliates, at $9.55 per share in cash, totaling a valuation of Carrols at around $1.0 billion.

Continue Exploring: Burger King’s parent RBI to acquire Carrols Restaurant Group for $1 Billion

By acquiring the largest Burger King franchisee in the United States, RBI expands its portfolio in line with the “Reclaim the Flame” strategy. As stated earlier, RBI intends to inject an extra $500 million to expedite the refurbishment of more than 600 Carrols eateries. Once the renovations are complete, RBI aims to transfer ownership of most acquired establishments to new or current smaller franchisees within the next seven years.

For the acquisition’s financing, RBI subsidiaries obtained a modification to their current credit arrangement, boosting their borrowing limit by $700 million to reach $5.9 billion in total. These funds, combined with existing cash reserves, facilitated the completion of the acquisition, encompassing the settlement of Carrols’ credit arrangement and the redemption of its outstanding debt.

Continue Exploring: Burger King sweetens its menu with new frozen cotton candy drink