This post is part of the On the Margin blog.
February isn’t even over yet and we’ve already seen two sizable deals involving publicly traded restaurants: The January sale of Bob Evans Restaurants to Golden Gate Capital and this week’s purchase of Popeyes Louisiana Kitchen Inc. by Burger King owner Restaurant Brands International.
As I said earlier this month, several factors could mean that 2017 has the makings for a big year restaurant mergers and acquisitions: There are buyers out there willing to pay high multiples to get what they want.
In addition, some companies might simply be better off privately owned. And debt is cheap.
There are several publicly traded companies that could find themselves buyout targets under these conditions. Some of these are more obvious than others — having been the subject of reported chatter or speculation.
Jonathan Maze, Nation’s Restaurant News senior financial editor, does not directly own stock or interest in a restaurant company.
Contact Jonathan Maze at [email protected]
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