Shares in Brazil's Burger King brand owner soar after Mubadala bid

A Burger King restaurant is seen on a main street in Sao Paulo, Brazil October 20, 2017. REUTERS/Paulo Whitaker

Shares in Zamp SA, franchise holder of the Burger King brand in Brazil, rose almost 19% on Monday after Abu Dhabi state investor Mubadala Capital LLC launched a tender offer to acquire control of the company.

According to a securities filing, Mubadala has offered 7.55 reais per share for 45.15% of Zamp, which would take its stake in the company to 50.1%. Mubadala’s bid implies a 21% premium over Friday’s closing price of 6.22 reais.

In mid-afternoon trading in Sao Paulo, Zamp shares were up 18.9% at 7.40 reais.

Zamp was previously known as BK Brasil Operacao e Assessoria a Restaurantes S.A. and is the master franchisee of the 850 Burger King stores in Brazil.

Reuters

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