There’s been a fierce and fascinating response from the SEC to evidence of clairvoyant dealings in Heinz ahead of news of the Buffett/3G Capital takeover offer. The statement is here and the full SEC complaint is here.
Following reports of unusual activity in Heinz call options on Nasdaq on Wednesday – the day before the Heinz news broke — the SEC has obtained an emergency order freezing assets in a Zurich, Switzerland-based trading account which it reckons benefited to the tune of $1.7m from the Buffett/3G bid. Read more
Burger King is set to be taken private for the second time in its history, after the board of the US fast-food chain accepted a $3.25bn bid from 3G Capital, a US investment group backed by Brazilian investors, reports the FT. 3G Capital won the Burger King board’s unanimous approval for its $24-per- share cash takeover bid, valuing the company at $4bn including $750m of assumed debt. JPMorgan and BarCap are providing debt for the deal. Lex notes that for the buy-out industry, “flipping businesses is more profitable than flipping burgers”, while DealJournal wonders what Brazilians “want with the Whopper”, Read more
Burger King is in talks with 3G Capital, a little-known investment fund, about a deal that could see the US burger chain return to private ownership for the second time in a decade, reports the FT. According to people familiar with the matter, an agreement could be reached within days, although they warned that as the details are yet to be finalised the talks could still collapse. 3G is a hedge fund group, whose biggest investors are wealthy individuals in Brazil, said one person familiar with the fund. Read more
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