Tim Horton's parent company inks two deals to bolster presence in China

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Popeyes Louisiana Kitchen,China,Tim Horton

TORONTO — Restaurant Brands International says it's spending up to $45 million on two deals intended to boost its presence in China and spur growth in what...

TORONTO — Restaurant Brands International says it's spending up to $45 million on two deals intended to boost its presence in China and spur growth in what the company sees as a promising market.

The Toronto-based company says it plans to work with local partners and establish a "master franchisee" model for Popeyes similar to what is in place in other countries.RBI also says it plans to partner with Cartesian Capital to invest up to $50 million in Tims China via three-year convertible notes, of which it will receive up to $30 million.

The investment in Tims China will grant RBI the right to appoint two directors to the Board and will see its equity ownership in the business increase to up to 18%, the company said. "We now believe that outlook is less certain and have updated our outlook to reflect a lower level of net unit additions in China this year."

"Given the incredible geographic scope and population of the market, success there requires a serious long-term capital commitment from our partners, a long-term time horizon and a commitment to grow the brand in the face of tough competition."Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying...In this article, we will take a look at the Country That Imports the Most Natural Gas in the World.

 

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