2024-03-27 20:46:31 ET
Summary
- Restaurant Brands International is acquiring Carrols Restaurant Group to accelerate the rate of remodeling and drive sales growth for Burger King.
- The transaction is expected to be completed in the second quarter of 2024, subject to anti-trust regulations and shareholder approval.
- Investors who bought shares of Carrols should sell now and consider redeploying their funds elsewhere, as the merger arbitrage spread is not attractive.
Back in October, I wrote a bullish article on Carrols Restaurant Group ( TAST ), noting that Carrols was trading at only $1.4 million of enterprise value per restaurant, a discount to my $1.8 million estimate of replacement value. Therefore, I rated the company a buy....
Read the full article on Seeking Alpha
For further details see:
Carrols: No Meat Left On This Bone, Sell