logo
Plus   Neg
Share
Email

Yum! Brands To Buy Habit Restaurants In $375 Mln Deal

Yum! Brands Inc. (YUM) said it agreed to acquire all of the issued and outstanding common shares of Habit Restaurants Inc. (HABT), which operates fast-casual concept The Habit Burger Grill, for $14 per share in cash or a total of about $375 million.

The company plans to fund the transaction using cash on hand and available borrowing capacity under its credit facilities. It expects to complete the transaction by the end of the second quarter of 2020.

Yum! Brands expects minimal impact to non-GAAP earnings per share before special items in 2020, with accretion beginning in 2021 and increasing thereafter.

Founded in California in 1969, The Habit Burger Grill offers a flavor-forward variety of made-to-order items uniquely chargrilled over an open flame.

The Habit Burger Grill will remain based in Irvine, Calif., and will continue to be managed by The Habit Burger.

Grill's President and chief executive officer Russell Bendel and Chief Financial Officer Ira Fils.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
JetBlue Airways said it will continue to block middle seats in rows where passengers are not traveling together through the July 4 holiday. JetBue will block middle seats on its Airbus aircraft, while it will block aisle seats on its smaller Embraer 190 aircraft. Customers traveling together will be allowed to sit in the middle and aisle seats. The U.S. Food and Drug Administration or FDA announced on its website that New Hoque and Sons, Inc. is recalling Radhuni Curry Powder distributed in New York City, New York due to potential Salmonella contamination. The recall was made after it was found that the finished products contained several strains of Salmonella, the company said. General Motors is reopening its plants in Mexico after it received approval from the Mexican government to restart operations in the country, according to reports. The automaker had suspended its operations in Mexico in the third week of March due to the coronavirus pandemic. GM's Mexican manufacturing facilities are important as they supply critical parts for its plants in the U.S.
Follow RTT