Everstone to Exit Burger King India Operator with Stake Sale

Private equity firm Everstone Capital is set to sell its entire 11.26% stake in Restaurant Brands Asia, the operator of Burger King restaurants in India and Indonesia, sources familiar with the matter said. The deal, expected to be announced on Tuesday, values Everstone’s holding at about $57 million, based on current market prices. Restaurant Brands Asia has a market capitalisation of roughly $437 million.

As part of the transaction, Restaurant Brands Asia is expected to bring in a new strategic investor. Sources said the family office of the founders of Ajanta Pharma is likely to take on this role and could invest up to 8 billion rupees ($88 million) in the company. It remains unclear what size stake the family office would initially acquire, though it may consider a majority holding over time as other shareholders exit.

Restaurant Brands Asia informed Indian stock exchanges last week that its board would meet on Tuesday to consider raising funds, without providing further details. Everstone, Restaurant Brands Asia, and representatives of the Ajanta Pharma founders’ family office declined to comment on the proposed transaction.

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