Dunkin’ Brands (DNKN) goes private in $8 billion dollar deal with Arby’s owner

Dunkin’ Brands (DNKN) goes private in a $8.76 billion deal with Arby’s owner and retail fastfood chains are blowing up despite the regards to the coronavirus pandemic.

Inspire Brands will buy Dunkin’ Brands for $8.76 billion, the two companies said late on Friday, bringing chains like Arby’s and Dunkin’ Donuts under the same umbrella in one of the largest restaurant deals.

Inspire Brands, which owns Arby’s, Buffalo Wild Wings and Sonic Drive-In, said its all-cash deal to take the owner of Dunkin’ Donuts and Baskin-Robbins chains private would value it at $106.50 a share. That represents a nearly 20% premium over Dunkin’s last closing share price on Oct. 23, before the New York Times first reported the deal talks.

Including debt, the deal is valued at about $11.3 billion, the companies said.

Sales at Dunkin’ and Baskin-Robbins have improved from their lockdown lows in recent weeks, boosted by strong demand for its curbside pickup, drive-thru and delivery options.

Dunkin’ and Baskin-Robbins on Thursday posted a surprise rise in U.S. comparable sales in the third quarter.

Dunkin’ and Baskin-Robbins will operate as distinct brands within Inspire, the companies said.

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Jay Lorrence
Investor of 12 years and Managing Editor of Money Midnight, a news outlet focused on highly profitable investment ideas and bold underground research.
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